Question

Ford Motor Company's use of company resources to build its River Rouge Plant outside of Detroit so that iron ore could enter into one end of the plant and a finished automobile could exit out of the other end is called____________________________.

a) vertical growth
b) tapered integration
c) horizontal integration
d) external vertical integration
e) quasi-integration

Answer 1

Answer: (A) Vertical growth

Step-by-step explanation:

The vertical growth is one of the type of business growth strategy in which the various types of customers are related to the specific industry where we can easily increase the price of the products and the services according to the current marketing demand.

In the vertical growth, the various types of vertical integration factors are using for completing the distribution or the production of the products in the market.

According to the given scenario, the company using the resources for building the river rouge plants and this process is known as the vertical growth.

Therefore, Option (A) is correct.