When two organizations pool markets and expertise that result in lower costs and generate profits,they are creating:
A)a value web.
B)a value chain.
C)net marketplaces.
D)core competencies.
E)synergies.

Question

Quizplus · Accepted Answer

When two organizations pool markets and expertise and generate profits, they create synergies. Synergy is the interaction or cooperation of two or more organizations or entities to produce a combined effect greater than the sum of their separate effects. It results in lower costs, higher revenues, and increased profitability for the organizations involved. A value web refers to a networked system of businesses, suppliers, and customers that work together to deliver value to the end consumer. A value chain describes the step-by-step process through which a company delivers its products or services to the customers. Net marketplaces are online platforms where buyers and sellers come together to exchange goods and services. Core competencies refer to a company's unique strengths and capabilities that distinguish it from its competitors.

When Two Organizations Pool Markets and Expertise That Result in Lower