________ refers to a diversification strategy that involves taking a step forward (down)on the value-added chain toward the customers.
A) Backward integration
B) Horizontal integration
C) Forward integration
D) Conglomerate integration

Question

Quizplus · Accepted Answer

Forward integration involves a diversification strategy where a company moves forward or down the value chain towards the final customers. This allows the company to have greater control over the distribution of their products or services and can lead to increased competitive advantage and profitability. Backward integration, on the other hand, involves moving up the value chain towards suppliers, while horizontal integration involves diversifying within the same industry or market. Conglomerate integration refers to diversifying into unrelated industries or markets.

________ Refers to a Diversification Strategy That Involves Taking a Step