Q.

For backward vertical integration into the business of suppliers to be a viable and profitable strategy, a company

A. Must first be a proficient manufacturer
B. Must be able to achieve the same scale economies as outside suppliers and match or beat suppliers' production efficiency with no drop-off in quality
C. Must have excess production capacity, so that it has ample in-house ability to undertake additional production activities
D. None of these
Answer» B. Must be able to achieve the same scale economies as outside suppliers and match or beat suppliers' production efficiency with no drop-off in quality
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