When separate firms engaged in various stages of a production process are united under one ownership,the resulting combination is known as

A) a horizontal merger.
B) a vertical merger.
C) a conglomerate merger.
D) a trust.

Vertical Merger

A merger between companies in the same industry but at different stages of production or distribution process.

Horizontal Merger

A horizontal merger is a business consolidation that occurs between firms who operate in the same industry, often leading to synergies, increased market share, and potentially higher market power.

Conglomerate Merger

A merger between firms that operate in entirely different industries, often aimed at diversification and risk reduction.