Which of the Following Is NOT True of Vertical Integration

question 15

Multiple Choice

Which of the following is NOT true of vertical integration?

• A)Leads to greater flexibility to changing technology
• B)Can result in a loss of economies of scale
• C)Helps achieve control of the supply chain
• D)Reap profits of the supplier or distributor when there is an attractive return from investment

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Definitions:

Manufactured

The process of producing goods using labor, machines, tools, and chemical or biological processing.

Allergy

An immune system response to a foreign substance that is not typically harmful to the body, such as pollen, food, or pet dander, often resulting in symptoms like itching, sneezing, or rash.

Stockbroker

A professional who buys and sells stocks and other securities on behalf of clients in exchange for a fee or commission.

Retail Stores

Businesses that sell goods or commodities directly to consumers from a particular location or outlet.