If a company begins its foreign sales by exporting through a merchant distributor who takes title to the product and performs all the necessary foreign sales functions, this
Would be a form of ________________ integration.
A) vertical
B) horizontal
C) forward
D) backward
E) dual

Question

Quizplus · Accepted Answer

Forward integration involves a company taking over the functions of a distributor or retailer in the supply chain. In this case, the company is using a merchant distributor to handle foreign sales, which falls under the category of forward integration.

If a Company Begins Its Foreign Sales by Exporting Through