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24 July, 14:03

Gold Leaf Computers sources the components for its laptops from various suppliers on the market. The firm pays $100 for processors, $35 for disk drives, $50 for screens, $10 for memory, and $40 for graphics and wireless internet cards. Gold Leaf has determined that it would cost $200 per unit to produce all of the necessary components in its in-house manufacturing facility. In this scenario, Gold Leaf should

A. diversify its activities.

B. vertically integrate.

C. continue to outsource production.

D. exit the laptop industry.

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Answers (1)
  1. 24 July, 14:54
    0
    B. vertically integrate is the correct answer.
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