A Strategic Disadvantage of Vertical Integration Is

Multiple Choice

A strategic disadvantage of vertical integration is

A) to boost a firm's capital investment in the industry, thus increasing business risk if the industry becomes unattractive later.
B) to impair a company's operating flexibility when it comes to changing out the use of certain parts and components.
C) to impair a company's flexibility in accommodating shifting buyer preferences.
D) to require radically different skills and business capabilities than the firm possesses.
E) to speed up the company's adoption of technological advances.