Stellar Products Inc.is a U.S.-based consumer electronics company.It owns smaller firms in Japan and Taiwan where most of its cell phone technology is developed and manufactured before being released worldwide.Which of the following alternatives to integration does this best illustrate?
A) venture capitalism
B) franchising
C) joint venture
D) parent-subsidiary relationship

Question

Quizplus · Accepted Answer

The parent-subsidiary relationship describes the most-integrated alternative to performing an activity within one's own corporate family. The corporate parent owns the subsidiary and can direct it via command and control.