Which economics term describes the takeover of one textile manufactures by another ?
Correct answer: B. horizontal integration
- A. Diversification
- B. horizontal integration
- C. monopoly
- D. vertical integration
Explanation
Horizontal integration occurs when firms operating at the same stage and in the same industry combine, such as one textile manufacturer taking over another. Vertical integration instead joins different stages, such as manufacturing and retailing.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Microeconomics
Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.
Practise Microeconomics
1,742 free Microeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Microeconomics questions
What is more likely to be found in a free market economy than in a planned economy ?
Which of the following payment instruments introduced by the banks is known as plastic money ?
Which of the following is not rated by credit rating agencies ?
Term the rules and particles that govern the management of an organization ?
Interest is______________?
Minimum price of a commodity fixed by government to save the interest of producer of raw materials is called ?