Vertical integration is based on a company entering only those industries that: a. are involved in the distribution of products. b. are considered as potential competitors. c. are involved in sourcing raw materials. d. are not in any way related to the company's current business operation.
Vertical integration can be disadvantageous when: a. competitors are vertically integrated. b. demand is stable. c. industry technology is changing rapidly. d. the company is operating in the home country. e. costs of company decreases C
Horizontal integration in an industry tends to: a. increase the cost structure. b. increase product differentiation. c. undermine the company's competitive advantage. d. increase rivalry within the industry. e. reduce bargaining power over suppliers and buyers B
e. When the company's competitors are also following a strategy of vertical integration A Vertical disintegration is said to occur when: a. a company decides to exit industries either forward or backward in the industry value chain to its core industry.