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When considering strategic marketing, if there is a profitability gap, which of the following is least...

When considering strategic marketing, if there is a profitability gap, which of the following is least likely to be pursued:

A. Increasing the yield
B. Reducing investment intensity
C. Selectivity and focus
D. Forward integration
E. Backward integration
Business   Operations-Management   
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Answer #1

Question:- When considering strategic marketing, if there is a profitability gap, which of the following is least likely to be pursued:

Answer:- (D) Forward integration

It implies moving closer to the finished product. If we take an example of a car spare part company and there is a profitability gap then they will consider the rest of the point rather then going for forward integration. The reason being if they thing to go for passenger car manufacturing then there will be a big investment they need to do and they are going for a profitability gap so they will not even thing of the forward integration and focus on rest of the points to fill that gap.

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