Outsourcing reduces the extent of a company's vertical integration.

Name: Outsourcing reduces the extent of a company's vertical integration.
Brand: Quizplus
Rating: 4.9 (41 reviews)

Question

Quizplus · Accepted Answer

Vertical integration refers to the extent to which a company controls the various stages of its production process. Outsourcing involves contracting out certain stages of production to external companies, which can reduce the extent of a company's vertical integration. Therefore, the statement is true.

Outsourcing Reduces the Extent of a Company's Vertical Integration