Which of the following interorganizational strategies is most appropriate for a company that wants to enlarge its domain and produce a wider range of products?
A) Trade association
B) Merger
C) Long-term contracts
D) Co-optation

Question

Quizplus · Accepted Answer

Mergers involve the joining of two or more companies to form a new entity. This strategy can be beneficial for a company that wants to expand its domain and offer a wider range of products by acquiring other companies with complementary offerings. This allows for economies of scale in production and distribution, as well as increased market power. Trade association, long-term contracts, and co-optation may not provide the same level of growth and diversification as a merger.

Which of the Following Interorganizational Strategies Is Most Appropriate for a Company