What is the pattern of the three-stage sequence by which firms have grown in the U.S.?
A) vertical integration (1890s-1919), then horizontal integration (1920s-1940s), followed by diversification (since 1950s).
B) diversification (1890s-1919), then horizontal integration (1920s-1940s), followed by vertical integration (since 1950s).
C) diversification (1890s-1919), then vertical integration (1920s-1940s), followed by horizontal integration (since 1950s).
D) horizontal integration (1890s-1919), then vertical integration (1920s-1940s), followed by diversification (since 1950s).
E) vertical integration (1890s-1919), then diversification (1920s-1940s), followed by horizontal integration (since 1950s).

Question

Quizplus · Accepted Answer

The correct sequence is horizontal integration during the late 19th and early 20th centuries, where firms expanded by merging with competitors in the same industry. This was followed by vertical integration from the 1920s to the 1940s, where companies sought to control both the production and distribution of their products. Since the 1950s, firms have increasingly pursued diversification, expanding into new markets and product lines to reduce risk and capitalize on new opportunities.

What Is the Pattern of the Three-Stage Sequence by Which