LESSON#6 Flashcards
Refers to how easily 2 or more markets can trade with each other.
occurs when prices among different locations or related goods follow similar patterns over a long period.
MARKET INTEGRATION
Types of market integration
HORIZONTAL INTEGRATION
VERTICAL INTEGRATION
CONGLOMERATION
this occurs when a firm or agency gains control of other firms or agencies performing similar marketing functions at the same level in the marketing sequence
in this type of integration some marketing agency combine to form a union to reduce the effective number and actual competition the market
HORIZONTAL INTEGRATION
This occurs when a firm perform more than one activity in the sequence of the marketing process
VERTICAL INTEGRATION
Supposed a firm assumes another function of marketing that is closer to the consumption
Ex. Insular considering the role of retailing
FORWARD INTEGRATION
This involves ownership or a combination of sources of supply
Ex: when a processing firms assumes the function of assembling or purchasing the product from the villages
BACKWARD INTEGRATION
The third type of vertical integration combines the backward and the forward vertical integration
BALANCE VERTICAL INTEGRATION
The combination of agencies or activities not directly related to each other maybe term a _________when it operates under a unified management
CONGLOMERATION
TRUE OR FALSE
The world economy or global economy is the economy of all humans of the world
TRUE A
TRUE OR FALSE
The system of trade and industry across the world emerged due to globalization
TRUE
TRUE OR FALSE
Countries economies have been developing coverage collectively as one system
TRUE
TRUE OR FALSE
Increasing costs through achieving operational efficiency
FALSE
TRUE OR FALSE
Integration of markets produces trade barriers and increases fluidity between markets
TRUE
