NABTEB Commerce 2025 Objective — Question 9

Question 9 of 50 from the National Business and Technical Examinations Board (NABTEB) Commerce 2025 Objective paper, with the correct answer and a full explanation.

If a groundnut farmer takes over a vegetable oil processing company, the merger is

A. backward integration
B. diagonal integration
C. forward integrationCorrect
D. horizontal integration

Explanation

The farmer is moving downstream towards the consumer in the supply chain, which is forward integration.

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