A merger involving a commercial bakery and a grocery retailer would be an example of a:
A)Vertical merger.
B)Horizontal merger.
C)Linear merger.
D)Conglomerate merger.

Question

Quizplus · Accepted Answer

A vertical merger involves the combination of companies that are in the same supply chain but at different stages. In this case, the commercial bakery and the grocery retailer are two companies in the same supply chain, with the bakery supplying baked goods to the grocery retailer. Therefore, the merger would be classified as a vertical merger.

A Merger Involving a Commercial Bakery and a Grocery Retailer