LightCo sells fairly standard light bulbs to Bodyworks,while BodyWorks sells components that can only be used by AutoCorp.LightCo is only interested in price while BodyWorks hires a law firm to negotiate its contracts with AutoCorp because:
A)LightCo and BodyWorks both have significant alternatives in the marketplace.
B)LightCo has market alternatives while BodyWorks does not.
C)BodyWorkshas market alternatives while LightCo does not.
D)neither LightCo nor BodyWorks have market alternatives.

Question

Quizplus · Accepted Answer

The fact that LightCo is only interested in price suggests that they have market alternatives and are not dependent on doing business with BodyWorks. On the other hand, BodyWorks hires a law firm to negotiate their contracts with AutoCorp, indicating that they do not have market alternatives and are dependent on doing business with AutoCorp.

LightCo Sells Fairly Standard Light Bulbs to Bodyworks,while BodyWorks Sells