A System in Which Independent Firms at Different Levels of the Supply

question 61

Multiple Choice

A system in which independent firms at different levels of the supply chain join together through agreements to obtain economies of scale and co-ordination and to reduce conflict is referred to as a(n) _____ vertical marketing system.

• A)administered
• B)corporate
• C)parental
• D)contractual
• E)member control

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Definitions:

Solar Water Heaters

Devices that convert sunlight into heat to warm water for residential and commercial uses, promoting energy efficiency.

Nonprice Competition

A strategy where businesses compete on factors other than price, such as quality, service, or brand image.

Product Differentiation

A marketing strategy that businesses use to distinguish their products from those of competitors.

Tacit Collusion

A situation where businesses indirectly coordinate actions without explicit agreement, often leading to market prices above competitive levels.