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Vertical Integration by Zara,the Main Division and Brand of the Spanish

Question 24

Multiple Choice

Vertical integration by Zara,the main division and brand of the Spanish clothing firm Inditex,illustrates:


A) The potential of vertical integration to offer flexibility in responding to seasonal fluctuations in demand
B) The potential for vertical integration to offer flexibility in responding to rapid changes in customer product preferences
C) The potential for vertical integration to overcome problems arising from the need for transaction-specific investments by garment manufacturers
D) The potential for vertical integration to exploit technical economies from co-locating adjacent processes.

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