A(n) ____ is a formal linkage that occurs when a member of the board of directors of one company sits on the board of directs of another company.
A) joint venture
B) interlocking directorate
C) integration
D) indirect interlock

Question

Quizplus · Accepted Answer

This is a definition of an interlocking directorate, where a board member from one company also sits on the board of directors of another company. The other options do not fit this definition. A joint venture refers to two or more companies joining forces for a specific project or venture, integration refers to the combining of two or more entities into one, and indirect interlock is not a commonly used term in this context.

A(n) ____ Is a Formal Linkage That Occurs When a Member