Which of the Following Factors Is Not Conducive to Vertical

question 22

Multiple Choice

Which of the following factors is not conducive to vertical integration between two adjacent stages of production?

• A)Similarity of the optimum scale of production between the two stages
• B)Few companies at each of the two stages
• C)The need for transaction-specific investments by the firms involved
• D)Distinctly different organizational capabilities are required at each stage

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