The vertical market for a product is deep when:
A)the existing customer base is more likely to switch to substitutes.
B)a large percentage of producers in the market use the product.
C)the product is purchased by all types of firms in many different industries.
D)the product appeals to different social classes of consumers.

Question

Quizplus · Accepted Answer

A deep vertical market for a product exists when a large percentage of producers in the market use the product. This means that the product is critical to the operations of many businesses in the industry, making it more difficult for customers to switch to substitutes. Options A, C, and D do not accurately reflect the concept of a deep vertical market.

The Vertical Market for a Product Is Deep When