A firm that backward vertically integrates A. may be producing its own inputs. B. requires that the production process be relatively simple. C. moves downstream in the production process. D. has to merge with another firm.

Question

Mathematics

Graham Duke

26 December, 08:27

A firm that backward vertically integrates A. may be producing its own inputs. B. requires that the production process be relatively simple. C. moves downstream in the production process. D. has to merge with another firm.

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Dayami Bowers · Answer 1

A. may be producing its own inputs

Step-by-step explanation:

-Backward intergration refers to when a firm owns a supplier in it's supply chain.

-Such ownership effectively implies that the firm may be producing its own output.

-In most cases, a firm strategically buys a company that supplies products/services needed for production.