When a company expands by developing its own products rather than acquiring a competitor, the company is likely to be accused of reducing competition.

Question

Quizplus · Accepted Answer

Developing its own products does not necessarily reduce competition. In fact, it may increase competition by offering more choices to consumers in the market. The accusation of reducing competition would be more likely if the company were to acquire competitors and eliminate their presence in the market.

When a Company Expands by Developing Its Own Products Rather