All of the following are reasons that firms pursue vertical integration strategies except:
A)To obtain better or more complete information about supplies or markets
B)Less dependence on one industry
C)Increased control over the quality of supplies
D)Greater opportunities to differentiate a product
E)Reduction of transaction costs

Question

Quizplus · Accepted Answer

Pursuing vertical integration strategies does not typically reduce a firm's dependence on one industry, and this is not generally a reason to pursue such a strategy. The other options listed are all valid reasons why firms might choose to vertically integrate.

All of the Following Are Reasons That Firms Pursue Vertical