F.4 econ..........integration

2007-06-21 1:04 am
Company A , which owned several garment factories in Tseuen Wan , was taken over by a local land developer , Company B . Company B decided to redevelop some of the garment factories into hotels and shopping centers. What type of integration is this?

回答 (2)

2007-06-21 5:49 am
✔ 最佳答案
It should be vertical forward integration because the clothes produced by the garnment factories can be sold in hotels and shopping centres. The hotels and shopping centres are therefore the preceding stage of clothes production.

In this case, adequate market outlets can be ensure.

Hope it helps.
參考: My Econ Knowledge
2007-06-23 7:18 am
Shouldn't it be conglomerate?
The point is that resources can be efficiently used. The outlet can be sold and the shop selling garments may become the only seller in the shopping malls since then.


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