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Consider the Following Statements

Question 2

Multiple Choice

Consider the following statements:
I. A vertically integrated company is more dependent on its suppliers than a company that is not vertically integrated.
II. Many companies feel they can control quality better by making their own parts.
III. A vertically integrated company realizes profits from the parts it is "making" instead of "buying" as well as profits from its regular operations.
Which of the above statements represent advantages to a company that is vertically integrated?


A) Only I
B) Only III
C) Only I and II
D) Only II and III

Correct Answer:

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