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    Managerial Economics Study Set 1
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    Exam 19: Vertical Integration and Outsourcing
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    When Asset Specificity Is Very High and There Is a Lot
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When Asset Specificity Is Very High and There Is a Lot

Question 40

Question 40

Multiple Choice

When asset specificity is very high and there is a lot of market uncertainty,then it is best for a firm to:


A) buy in the open market.
B) use a long-term contract.
C) vertically integrate.
D) engage in a joint venture.

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