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10 October, 19:57

Which of the following is NOT a disadvantage of vertical integration? a) Increased business riskb) Decreased product qualityc) Capacity matching problemsd) Slowness to embrace technological advancese) Less flexibility in accommodating shifting buyer preferences

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  1. 10 October, 20:50
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    Answer: The following is not a disadvantage of vertical integration: Decreased product quality

    Vertical integration refers to an arrangement under which the supply chain of a organization is closely-held by that organization. In this mostly each associate of the supply chain bring forth a different commodity or service, and the commodity pools to satisfy a public need.

    This has its advantages and disadvantage but nevertheless, it tends to increase the productivity instead of decreasing it.

    Therefore, the correct option is (b)
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