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The Arguments That Support Making Component Parts In-House (I

Question 41

Multiple Choice

The arguments that support making component parts in-house (i.e.vertical integration) are fourfold:


A) lower costs, facilitates investments in highly specialized assets, protects proprietary product technology and, facilitates the scheduling of adjacent processes
B) greater flexibility, helps a firm capture orders from international customers, facilitates investments in highly standardized assets and, facilitates the scheduling of adjacent processes
C) helps a firm capture orders from international customers, lower costs, facilitates investments in highly standardized assets and, facilitates the scheduling of adjacent processes
D) lower costs, greater flexibility, facilitates the scheduling of adjacent customers and, facilitates investments in highly specialized assets
E) greater efficiencies, better quality control, protects against technology theft, and more responsive to customers

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