Fresh n Fragrant is a chain of flower shops offering a variety of flowers and ornamental plants. It recently opened a distribution center to supply ornamental plants and cut flowers to all its stores within a 300-mile radius. From the given scenario, it can be seen that Fresh n Fragrant is practicing
A) vertical integration.
B) channel expansion.
C) horizontal expansion.
D) horizontal integration.
E) channel diversification.

Question

Quizplus · Accepted Answer

Vertical integration means that a firm performs more than one set of activities in the channel, as occurs when a retailer engages in wholesaling activities by operating its own distribution centers to supply its stores.

Fresh N Fragrant Is a Chain of Flower Shops Offering