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An example of a vertical combination is the mer... - JAMB Economics 2019 Question

An example of a vertical combination is the merger of_________

A
a spinning firm and a wearing firm
B
two meat retailing firms
C
two very large wholesale textile distributors
D
three secretarial employment agencies in one town
correct option: a

The merging together of two businesses that are at different stages of production is known as vertical combination. Merging in this way with something further on in the production process is known as Forward Integration.

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