Timber Inc

Multiple Choice

Timber Inc. enters an exclusive partnership to ally with Teal Corp. in order to enter a foreign market. Which of the following statements is likely to be true in this case?

A) Timber and Teal are unlikely to receive inputs or activity from each other.
B) Timber is likely to buy an activity from Teal using an arm's-length relationship.
C) Timber is likely to send a bid to Teal along with other suppliers for the lowest price.
D) Timber is likely to acquire an activity or input from Teal to create a new value.