Which of the following does not properly describe reasons for a retailer of pianos having 30 stores to acquire control of another retailer of pianos having 12 stores?
A)The companies would be vertically integrated to have access across United States markets.
B)The companies would be integrated for horizontal growth by having more retail stores to sell pianos.
C)The companies would be integrated to experience synergies in delivery costs to customers because pianos could be shipped from a central warehouse in each geographic territory.
D)The companies would be integrated to share advertising costs.

Question

Quizplus · Accepted Answer

This answer is incorrect because it does describe a valid reason for a retailer of pianos to acquire another retailer. Being vertically integrated would provide access to more markets across the United States.

Which of the Following Does Not Properly Describe Reasons for a Retailer