A local lumber company's purchase of a window and door manufacturer is an example of which of the following type of merger?
A) a combination
B) a conglomerate
C) a horizontal merger
D) a vertical merger

Question

Quizplus · Accepted Answer

A vertical merger occurs when a company acquires another company that operates in the production process of the same industry, such as a lumber company acquiring a window and door manufacturer.

A Local Lumber Company's Purchase of a Window and Door