Post Utme Lasu 2022 Commerce Question 40

Practice objective / multiple choice question 40 from the 2022 Post Utme Lasu Commerce examination.

Post Utme Lasu 2022 Commerce Objective / Multiple Choice
Question 40 POST_UTME_LASU • 2022 • COMMERCE • objective

A company is considering two different business units for a new product. Unit A involves a high level of vertical integration, but it requires a significant upfront investment in machinery and equipment. Unit B involves a lower level of vertical integration, but it requires less upfront investment. However, Unit B also requires more labor and has a higher labor cost. Which of the following is a potential disadvantage of Unit B?

Answer Options

A. Higher upfront investment
B. Lower labor costs
Correct Answer C. Increased labor requirements
D. Improved product quality
Correct Answer
C
Correct Option:
Increased labor requirements

About This Question

This is Post Utme Lasu 2022 Commerce Question 40. It is one of the objective questions from the 2022 Post Utme Lasu Commerce examination.

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