Vertical integration can lower costs by:

Question

Quizplus · Accepted Answer

Vertical integration facilitates the coordination of production flows and avoids bottlenecks, which allows for more efficient production and ultimately lower costs.

Answer: D 
 Vertical integration creates control factors across the value chain, which reduces the risk of supplier disruption and allows for more efficient coordination and management of the entire production process.

Therefore, the correct answer is:

Answer: B, D 
 Vertical integration can lower costs by facilitating the coordination of production flows and avoiding bottlenecks, as well as creating control factors across the value chain.

Vertical Integration Can Lower Costs By