The acquisition of a firm involved with a different production process stage than the bidder is called a ________ acquisition.
A)conglomerate
B)forward
C)backward
D)horizontal
E)vertical

Question

Quizplus · Accepted Answer

A vertical acquisition involves acquiring a firm involved in a different production process stage than the bidder. This can be either forward or backward integration, depending on whether the acquired firm is closer to the final consumer or closer to the raw materials.

The Acquisition of a Firm Involved with a Different Production