Forward integration strategy is especially effective when the availability of quality distributors is so limited as to offer a competitive advantage to those firms that integrate forward.

Question

Quizplus · Accepted Answer

Forward integration strategy involves a company expanding its business to acquire or control its distributors, retailers, or end consumers. This type of integration may provide a competitive advantage to companies that face challenges in finding quality distributors. By integrating forward, the company can ensure its products or services are distributed efficiently and effectively to end customers. Therefore, option A is correct.

Forward Integration Strategy Is Especially Effective When the Availability of Quality