Question

The Maroon Apparel company controls the weaving, dyeing, cutting, and sewing of its merchandise. Apart from these activities, it also manufactures buttons, zips, buckles, and other accessories for its apparel. This is done in order to exercise tight control over its manufacturing processes and to reduce production costs. This strategy of the company is known as _____.

A. vertical integration

B. unrelated diversification

C. horizontal integration

D. mass customization

E. conglomerate diversification

Answer

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