The strategy of purchasing firms that are suppliers in order to have a reliable supply chain is known as:
A)in-house production.
B)outsourcing.
C)benchmarking.
D)vertical integration.
E)product lifecycle management.

Question

Quizplus · Accepted Answer

The strategy of purchasing firms that are suppliers in order to have a reliable supply chain is known as vertical integration. This involves acquiring companies that are part of the supply chain in order to have better control over production, quality, and cost. This ensures that the company has a steady supply of raw materials or products, reducing the risk of supply chain disruptions.

The Strategy of Purchasing Firms That Are Suppliers in Order