WillowWorks LLC, a Retail Clothing Store, Has Been Sourcing Its

Multiple Choice

WillowWorks LLC, a retail clothing store, has been sourcing its raw materials from a supplier named ThreadTym Corp. for the last five years. A change of management at ThreadTym resulted in an increase of the prices of the raw materials. As a result, WillowWorks purchases ThreadTym so that it can produce these products on its own. This scenario best illustrates ________.

A) network effect
B) forward integration
C) backward integration
D) switching cost