The Potential Advantages of Tesla's Backward Vertical Integration Strategy Include

Multiple Choice

The potential advantages of Tesla's backward vertical integration strategy include

A) increased vulnerability to Tesla from powerful suppliers (who may be inclined to raise prices at every opportunity) .
B) moderately increased risks to Tesla of disruptions in obtaining crucial components or support services.
C) reduced costs.
D) increased business risk for Tesla because it can control a larger portion of the overall industry value chain.
E) enhancement of Tesla's differentiation capabilities and perhaps achieving a differentiation-based competitive advantage.