In ________ integration, the organization gains control of its outputs by becoming its own distributor.
A) diversified
B) concentrated
C) backward vertical
D) forward vertical

Question

Quizplus · Accepted Answer

In forward vertical integration, the organization gains control over its outputs by becoming its own distributor, which means that it takes over the role of distributing its products to customers. This can help the organization to reduce its reliance on other distributors, gain greater control over its distribution channels, and potentially increase its profits by capturing more of the value chain. Diversified integration involves expanding into unrelated businesses, while concentrated integration involves focusing on a single business area. Backward vertical integration involves gaining control over inputs, such as raw materials or suppliers.

In ________ Integration, the Organization Gains Control of Its Outputs