Question

How did business leaders in the late nineteenth century utilize vertical integration? A.They allowed market forces to dictate how their products were distributed. B.They maintained control of the raw materials necessary for their products. C.They delegated responsibility for production and distribution to subsidiaries. D.They maintained control of production and distribution of their products.

Answer 1

Answer:

Answer is option D i.e. They maintained control of production and distribution of their products.

Explanation:

In the late nineteenth century, the main reason for the growth of the business was the inclusion of vertical and horizontal integration in the manufacturing and selling processes. In the process of vertical integration, the company tends to integrate two or more manufacturing processes to minimize cost, and increase efficiency. In the late nineteenth, the production and distribution processes were strategically integrated which contributed as means of growth. This integration was referred to as vertical integration.