Conglomerate integration:
A. reduces the transaction costs of acquiring inputs.
B. improves cash flow by exploiting the cyclical nature of different product lines.
C. exploits economies of scope by merging the production of similar products.
D. All of the statements are correct.

The Conglomerate integration helps in reducing the transaction costs of acquiring inputs, improves cash flow and exploits economies of scope by merging the products.

What is a Conglomerate integration?

A Conglomerate integration refers to an integration between two or more firms that are totally involved in a unrelated business activities.

The reason behind this integration is to control interests in different companies in other to diversify risks to lessen the impact of major financial setbacks.

Therefore, the Option D is correct.

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Conglomerate integration: A. reduces the transaction costs of acquiring inputs. B. improves cash flow by exploiting the cyclical nature of different product lines. C. exploits economies of scope by merging the production of similar products. D. All of the statements are correct.

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What is a Conglomerate integration?

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Conglomerate integration:
A. reduces the transaction costs of acquiring inputs.
B. improves cash flow by exploiting the cyclical nature of different product lines.
C. exploits economies of scope by merging the production of similar products.
D. All of the statements are correct.