The Presence of Minimal Specialized Investments Relative to Contracting Costs

question 84

Multiple Choice

The presence of minimal specialized investments relative to contracting costs suggests that the optimal input procurement method is:

• A) spot exchange.
• B) vertical integration.
• C) contract.
• D) vertical integration or contract.

---

Definitions:

Citric Acid Cycle

A series of chemical reactions used by all aerobic organisms to release stored energy through the oxidation of acetyl-CoA derived from carbohydrates, fats, and proteins.

Oxaloacetic

Relating to oxaloacetic acid, a four-carbon molecule critical in the citric acid cycle for energy production within cells.

Acetyl-CoA

is an important molecule that plays a central role in metabolism, acting as a substrate for the citric acid cycle and fatty acid synthesis.

Carbohydrates

Organic compounds consisting of carbon, hydrogen, and oxygen, serving as a major energy source for the body and include sugars, starches, and fibers.