Markus United Inc

Multiple Choice

Markus United Inc., a soap manufacturing company, maintained strategic advantage over other companies by retaining profits in a unique way. The company bought a few distributors in order to improve efficiency and cut down transportation costs while distributing its products to retail stores. The company generated more profits than its competitors this way. This is an example of _________.

A) horizontal diversification
B) backward integration
C) forward integration
D) horizontal specialization