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Strategic Management and Competitive Advantage, 5e (Barney)
Chapter 6 Vertical Integration
1) Business strategy is a firm's theory of how to gain competitive advantage by operating in

several businesses simultaneously.
Answer: FALSE
Diff: 1
Learning Obj.: 6.1: Define Vertical Integration, Forward Vertical Integration, and Backward
Vertical Integration
AACSB: Analytic Skills
2) Decisions about whether or not to vertically integrate often determine whether or not a firm is
operating in a single business or industry or multiple businesses or industries.
Answer: TRUE
Diff: 1
3) A firm's level of vertical integration is the number of steps in its value chain that the firm
accomplishes within its boundaries.
Answer: TRUE
Diff: 2
4) More vertically integrated firms accomplish fewer stages of the value chain within their
boundaries than less vertically integrated firms.
Answer: FALSE
Diff: 2
5) A firm engages in backward vertical integration when it incorporates more stages of the value
chain within its boundaries and those stages bring it closer to gaining access to raw materials.
Answer: TRUE
Diff: 2
1
Copyright © 2015 Pearson Education, Inc.
6) If Wal-Mart were to purchase a factory to make socks and it planned to sell these socks in its
stores, this would be an example of forward vertical integration.
Answer: FALSE
Diff: 2
AACSB: Application of Knowledge
7) When companies staffed and operated their own call centers in the United States, they were
engaging in backward vertical integration, but when they started using independent companies in
India to staff and operate these centers, they were more vertically integrated.
Answer: FALSE
Diff: 3
8) A firm with a high ratio between value added and sales has brought many of the value-
creating activities associated with its business inside its boundaries, consistent with a high level
of vertical integration.
Answer: TRUE
Diff: 3
9) Opportunism exists when a firm is unfairly exploited in an exchange.

Answer: TRUE
Diff: 1
Learning Obj.: 6.2: Discuss how Vertical Integration can Create Value by Reducing the Threat
of Opportunities
10) If Iron Horse Helmets (IHH) were to contract with a Chinese manufacturing firm to provide
IHH with superior quality helmets for sale in the United States but discovered that the shipments
were actually of inferior quality when they were received, IHH would be said to be acting
opportunistically.
Answer: FALSE
Diff: 3
of Opportunities
2
11) If one of a firm's exchange partners behaves opportunistically, this reduces the economic
value of the firm.
Answer: TRUE
Diff: 2
of Opportunities
12) Firms should only bring market exchanges within their boundaries when the cost of vertical
integration is more than the cost of opportunism.
Answer: FALSE
Diff: 3
of Opportunities
13) The threat of opportunism is the least when a party to an exchange has made transaction-
specific investments.
Answer: FALSE
Diff: 2
of Opportunities
14) A transaction-specific investment is any investment in an exchange that has significantly

more value in the current exchange than it does in alternative exchanges.
Answer: TRUE
Diff: 2
of Opportunities
15) Transaction-specific investments make parties to an exchange vulnerable to opportunism,

and vertical integration solves this vulnerability problem.
Answer: TRUE
Diff: 2
of Opportunities
16) Firms should avoid vertically integrating in those businesses where they possess valuable,
rare, and costly-to-imitate resources and capabilities.
Answer: FALSE
Diff: 2
Learning Obj.: 6.3: Discuss how Vertical Integration can Create Value by Enabling a Firm to
Exploit its Valuable, Rare, and Costly-to-Imitate Resources and Capabilities
3
17) Firms should not vertically integrate into business activities where they do not possess the
resources necessary to gain competitive advantages.
Answer: TRUE
Diff: 1
18) If a firm engages in vertical integration into a business activity where it does not possess any
of the valuable, rare, or costly-to-imitate resources it needs to gain a competitive advantage, it
may find itself at a competitive disadvantage to the extent that some firms already have
competitive advantages in these business activities.
Answer: TRUE
Diff: 2
19) One of the biggest uncertainties in providing customer service through call centers is the
question of whether the people staffing the phones actually help a firm's customers.
Answer: TRUE
Diff: 2
20) Flexibility refers to how costly it is for a firm to alter its strategic and organizational
decisions.
Answer: TRUE
Diff: 1
Retain its Flexibility
21) Flexibility is low when the cost of changing strategic choices is low.
Answer: FALSE
Diff: 2
4
22) Research suggests that, in general, vertically integrating is more flexible than not vertically
integrating.
Answer: FALSE
Diff: 3
23) Once a firm has vertically integrated it has committed its organizational structure, its
management controls, and its compensation policies to a particular vertically integrated way of
doing business and it has enhanced its flexibility.
Answer: FALSE
Diff: 3
24) Flexibility is always valuable.

Answer: FALSE
Diff: 2
25) Flexibility is only valuable when the decision-making setting a firm is facing is uncertain.
Answer: TRUE
Diff: 1
26) A decision-making setting is uncertain when the future value of an exchange cannot be
known when investments in that exchange are being made.
Answer: TRUE
Diff: 2
27) The use of budgets in a vertically integrated U-form organization can lead functional
managers to overemphasize short-term behavior that is easy to measure and underemphasize
longer-term behavior that is more difficult to measure.
Answer: TRUE
Diff: 2
Learning Obj.: 6.6: Describe How the Functional Organization Structure, Management Controls,
and Compensation Policies are used to Implement Vertical Integration
5
28) A flexibility-based approach to vertical integration suggests that when the decision-making
setting regarding a business activity is highly uncertain, firms should form a strategic alliance to
enter this activity instead of vertically integrating.
Answer: TRUE
Diff: 2
29) The downside risks associated with investing in a strategic alliance are unknown but fixed.
Answer: FALSE
Diff: 2
30) A firm's vertical integration strategy is rare when few competing firms are able to create
value by vertically integrating in the same way.
Answer: TRUE
Diff: 2
Learning Obj.: 6.5: Describe Conditions Under Which Vertical Integration May be Rare and
Costly to Imitate
31) Outsourcing can help firms reduce costs and focus their efforts on those business functions
that are central to their competitive advantage.
Answer: TRUE
Diff: 2
32) A firm's vertical integration strategy can only be rare when it is the only firm that is able to
vertically integrate efficiently.
Answer: FALSE
Diff: 2
Costly to Imitate
6
33) If a firm has capabilities that are valuable and rare, then vertically integrating into businesses
that exploit these capabilities can enable the firm to gain at least a temporary competitive
advantage.
Answer: TRUE
Diff: 2
Costly to Imitate
34) A firm may be able to gain an advantage from vertically integrating when it resolves some
uncertainty it faces sooner than its competition.
Answer: TRUE
Diff: 2
Costly to Imitate
35) A firm's ability to conceive and implement vertical integration strategies tends to be highly
susceptible to direct duplication.
Answer: FALSE
Diff: 3
Costly to Imitate
36) Strategic alliances are the major substitute for vertical integration.
Answer: TRUE
Diff: 2
Costly to Imitate
37) Budgets are an important control tool and they contribute to only positive outcomes.
Answer: FALSE
Diff: 3
38) From a CEO's perspective, coordinating functional specialists to implement a vertical

integration strategy rarely involves conflict resolution.
Answer: FALSE
Diff: 2
7
39) Numerous conflicts can arise among functional managers in a vertically integrated U-form
organization.
Answer: TRUE
Diff: 2
40) Capability explanations of vertical integration acknowledge the importance of firm-specific

investments in creating value for a firm.
Answer: TRUE
Diff: 2
41) Vertical integration is a type of

A) business strategy.
B) generic strategy.
C) differentiation strategy.
D) corporate strategy.
Answer: D
Diff: 2
42) The number of steps in a firm's value chain that it accomplishes within its boundaries
describes the firm's level of
A) product differentiation.
B) diversification.
C) vertical integration.
D) competitive dynamics.
Answer: C
Diff: 2
8
43) When Apple, Inc. opened retail stores to sell its computers and iPods, this was an example of
A) forward vertical integration.
B) backward vertical integration.
C) forward horizontal integration.
D) backward horizontal integration.
Answer: A
Diff: 3
44) If Dell computers were to open its own factory to manufacture the LCD televisions it sells at
its online store, this would be an example of
B) product differentiation.
C) forward horizontal integration.
D) backward vertical integration.
Answer: D
Diff: 3
45) A firm's ________ measures the percentage of a firm's sales that is generated by activities
done within the boundaries of a firm.
A) value added as a percentage of sales
B) simple product diversification
C) competitive advantage
D) competitive dynamic
Answer: A
Diff: 2
46) Which of the following is not used to determine a firm's level of vertical integration using the
value added as a percentage of sales approach?
A) value added
B) net income
C) sales
D) gross margin
Answer: D
Diff: 3
9
47) A firm with a ________ ratio between value added and sales has brought ________ of the
value-creating activities associated with its business inside its boundaries, consistent with a high
level of vertical integration.
A) low; many
B) high; many
C) medium; many
D) medium; few
Answer: B
Diff: 3
48) In 1937, which Nobel Prize-winning economist first articulated the question of vertical
integration, i.e., which stages of the value chain should be included within a firm's boundaries
and why?
A) Ronald Coase
B) Adam Smith
C) David Ricardo
D) Milton Freidman
Answer: A
Diff: 2
of Opportunities
49) ________ exists when a firm is unfairly exploited in an exchange.

A) Competitive advantage
B) Business level strategy
C) Opportunism
D) Corporate level strategy
Answer: C
Diff: 2
of Opportunities
10
50) A(n) ________ is any investment in an exchange that has significantly more value in the
current exchange than it does in alternative exchanges.
A) opportunity-specific investment
B) transaction-specific investment
C) competition-specific investment
D) opportunistic investment
Answer: B
Diff: 1
of Opportunities
51) According to ________ of when vertical integration creates value, vertical integration is
valuable when it reduces threats from a firm's suppliers or buyers due to any transaction-specific
investments a firm has made.
A) firm capability explanations
B) opportunity-based explanations
C) flexibility-based explanations
D) opportunism-based explanations
Answer: D
Diff: 2
of Opportunities
52) The essence of the ________ to vertical integration is that if a firm possesses valuable, rare,
and costly-to-imitate resources in a business activity, it should vertically integrate into that
activity otherwise it should not vertically integrate into that activity.
A) flexibility-based explanation
B) opportunism-based explanation
C) firm capability explanation
D) opportunity-based explanation
Answer: C
Diff: 2
11
53) To the extent that other firms may have competitive advantages in business activities that a
firm is considering to enter through vertical integration, vertically integrating into these activities
could put the firm at a
A) competitive advantage.
B) temporary dynamic disadvantage.
C) sustainable competitive advantage.
D) competitive disadvantage.
Answer: D
Diff: 2
54) ________ refers to how costly it is for a firm to alter its strategic and organizational
decisions.
A) Flexibility
B) Dynamic capability
C) Opportunism
D) Uncertainty
Answer: A
Diff: 1
55) Research suggests that, in general, vertically integrating is ________ than not vertically
integrating.
A) significantly more flexible
B) somewhat more flexible
C) comparatively flexible
D) less flexible
Answer: D
Diff: 2
12
56) A decision-making setting is ________ when the future of an exchange cannot be known
when investments in that exchange are being made.
A) uncertain
B) opportunistic
C) flexible
D) dynamic
Answer: A
Diff: 2
57) A(n) ________ approach to vertical integration suggests that rather than vertically
integrating into a business activity whose value is highly uncertain firms should not vertically
integrate and instead should form a strategic alliance to manage this exchange.
A) alliance-based
B) flexibility-based
C) firm capabilities-based
D) opportunism-based
Answer: B
Diff: 2
58) Which of the explanations of vertical integration is the oldest and has received the greatest
empirical support?
A) opportunism-based
D) alliance-based
Answer: A
Diff: 3
13
59) If a firm decided to maintain relationships with several different call center management
companies, each of which have adopted different technological solutions to the problem of how
to use call center employees to assist customers who are using very complex products, to reduce
the uncertainty of whether the people staffing the phone can help the firm's customers, this
would be consistent with which explanation of vertical integration?
D) alliance-based
Answer: B
Diff: 3
60) Some observers predict that by ________ an additional 3.3 million jobs in the United States
will be outsourced, many to operations overseas.
A) 2014
B) 2015
C) 2016
D) 2017
Answer: B
Diff: 2
61) If a computer company decided to open its own call centers to provide technical support to
its corporate customers because the employees in these call centers need a significant level of in-
depth training that was highly specialized to the computer company's products, this would be
consistent with which explanation of vertical integration?
D) alliance-based
Answer: A
Diff: 3
14
62) A firm is likely to be among the first in its industry to vertically disintegrate an exchange
when
A) the firm concludes that the level of specific investment required to manage an economic
exchange is high.
B) the firm believes that the exchange is costly to imitate.
C) the level of uncertainty about the value of an exchange has increased.
D) the firm believes that the exchange is rare.
Answer: C
Diff: 3
Costly to Imitate
63) Which of the following statements regarding direct duplication and substitutes for vertical
integration is accurate?
A) A firm's valuable and rare vertical integration choices may be subject to direct duplication
and substitutes.
B) A firm's valuable and rare vertical integration choices are subject to neither direct duplication
nor substitutes.
C) A firm's valuable and rare vertical integration choices may be subject to direct duplication but
not to substitutes.
D) A firm's valuable and rare vertical integration choices may be subject to substitutes but not to
direct duplication.
Answer: A
Diff: 2
Costly to Imitate
64) The major substitute for vertical integration is

A) vertical disintegration.
B) strategic alliances.
C) a product-differentiation strategy.
D) a low-cost strategy.
Answer: B
Diff: 1
Costly to Imitate
15
65) Which organizational structure is used to implement a vertical integration strategy?
A) matrix
B) functional
C) multidivisional
D) product-divisional
Answer: B
Diff: 1
66) From a CEO's perspective, coordinating functional specialists to implement a vertical

integration strategy almost always involves
A) conflict resolution.
B) competitive positioning.
C) product differentiation.
D) corporate expansion.
Answer: A
Diff: 1
67) If Brenda Thompson, Tom Mix's supervisor, wanted to use a budgeting process to help
evaluate Tom's performance but wanted to ensure that using a budget did not encourage Tom to
focus on short-term behaviors at the expense of long-term results, she should
A) develop the budget herself using realistic goals based on the economic reality facing Tom's
function and use both quantitative and qualitative evaluations of the performance of Tom's
function and then give the budget to Tom to follow.
B) work with Tom in an open and participative process to develop the budget based on the most
optimistic scenario possible and use both quantitative and qualitative evaluations of the
performance of Tom's function.
C) develop the budget herself based on the most pessimistic scenario possible and use both
quantitative and qualitative evaluations of the performance of Tom's function and then give the
budget to Tom to follow.
D) work with Tom in an open and participative process to develop the budget based on the
economic reality facing Tom's function and use both quantitative and qualitative evaluations of
the performance of Tom's function.
Answer: D
Diff: 3
16
68) Evaluating a functional manager's performance relative to budgets can be an effective control
when
A) the process used in developing budgets is open and participative.
B) the process reflects the economic best-case scenario developed by the functional manager.
C) the process reflects the economic worst-case scenario developed by the functional manager.
D) the process relies solely on quantitative criteria to evaluate the functional manager's
performance.
Answer: A
Diff: 2
69) Which committee in a U-form organization meets monthly and usually consists of the CEO
and each of the heads of the functional areas included in a firm?
A) executive committee
B) functional committee
C) operations committee
D) managerial committee
Answer: C
Diff: 2
70) Which committee in a U-form organization meets weekly and reviews the performance of
the firm on a weekly basis and typically consists of a CEO and two or three functional senior
managers?
A) top management team
B) executive committee
C) operations committee
D) functional committee
Answer: B
Diff: 2
17
71) Investments made by employees that have more value in a particular company than in
alternative companies are known as
A) firm-specific investments.
B) individual-specific investments.
C) group-specific investments.
D) opportunistic investments.
Answer: A
Diff: 2
72) According to the opportunism-based explanations of vertical integration, which of the

following would be the most appropriate type of compensation to support strategy
implementation?
A) cash bonuses for corporate performance
B) cash bonuses for group performance
C) stock options for individual performance
D) stock grants for individual performance
Answer: D
Diff: 3
73) According to the capabilities-based explanations of vertical integration, which of the

following would be the most appropriate type of compensation to support strategy
implementation?
A) salary
B) cash bonuses for corporate performance
C) cash bonuses for individual performance
D) stock grants for individual performance
Answer: B
Diff: 2
18
74) According to the flexibility-based explanations of vertical integration, which of the following
would be the most appropriate type of compensation to support strategy implementation?
A) stock options for individual performance
B) stock grants for individual performance
C) stock grants for corporate performance
D) cash bonuses for individual performance
Answer: A
Diff: 3
75) ________ are payments to employees in a firm's stock.

A) Stock grants
B) Cash grants
C) Flexibility grants
D) Option grants
Answer: A
Diff: 2
76) ________ are when employees are given the right, but not the obligation, to purchase stock
at predetermined prices.
A) Flexibility grants
B) Stock grants
C) Stock options
D) Grant options
Answer: C
Diff: 2
77) The ________ explanations call for compensation that focuses on individual employees,
such as cash bonuses for individual performance.
A) capabilities-based
B) strategically-based
C) flexibility-based
Answer: D
Diff: 2
19
78) Compensation that focuses on groups of employees such as cash bonuses and stock grants
are best suited for ________ explanations of vertical integration.
A) flexibility-based
B) capabilities-based
C) strategically-based
Answer: B
Diff: 2
79) The ________ logic suggests that compensation that has a fixed and known downside risk
and significant upside potential is important for firms implementing vertical integration
strategies.
A) opportunism
B) strategic
C) capabilities
D) flexibility
Answer: D
Diff: 3
80) Firm-specific investments are a type of ________ investments.

A) operational
B) contingent
C) transaction-specific
D) horizontal
Answer: C
Diff: 2
81) If Digipics were to begin manufacturing lenses for the cameras they assembled, this would
be an example of
A) backward vertical integration.
B) a strategic alliance.
C) forward vertical integration.
D) opportunism.
Answer: A
Diff: 2
20
82) If Digipics were to begin selling the cameras it assembled directly to customers through a
website operated by the company, this would be an example of
A) backward vertical integration.
B) a strategic alliance.
C) forward vertical integration.
D) opportunism.
Answer: C
Diff: 2
83) If one of the suppliers that Digipics purchases its components from purposefully delivered a
batch of its product that was substandard but did not inform Digipics of this, this would be an
example of
A) flexibility.
B) opportunism.
C) uncertainty.
D) vertical integration.
Answer: B
Diff: 2
of Opportunities
84) If Digipics were to agree to spend a significant amount of money to establish a new assembly
line for a large client, PicPro, that has unique needs that would make this assembly line largely
useless for any other customer, the funds Digipics spent in establishing this line would be an
example of
C) a transaction-specific investment.
D) opportunism.
Answer: C
Diff: 3
of Opportunities
21
85) The fact that it would be very costly for Digipics to alter its operations if the large customer
referred to in the previous question decided to stop doing business with Digipics suggests that
Digipics has ________ in this situation.
A) low flexibility
B) low opportunism
C) high flexibility
D) high opportunism
Answer: A
Diff: 2
TerraLoc competes in the market for global positioning devices and services. The company
manufactures its own GPS units, which are smaller than those of any other competitor and
include a proprietary battery that lasts 200% longer than any other competitor's battery and that
TerraLoc manufacturers on-site. TerraLoc also has developed proprietary software that is much
faster and more precise than that of any competitor. When developing the proprietary battery,
TerraLoc decided to manufacturer the battery in-house to reduce the possibility that the company
it outsourced the battery manufacturing to might reverse engineer the battery and sell a similar
product to competitors. This possibility was especially troubling given that the company
expected a significant increase in demand due to the improved battery life. Additionally,
TerraLoc sells its products and services through its own direct sales force to ensure that its
representatives highlight the longer battery life of TerraLoc's units.
86) TerraLoc's decision to manufacture the battery in-house is most consistent with which
explanation of vertical integration?
A) Flexibility-based explanations
B) Firm capability-based explanations
C) Alliance-based explanations
D) Opportunism-based explanations
Answer: D
Diff: 3
of Opportunities
22
87) TerraLoc's development of the new battery technology is likely to
A) reduce the rarity of TerraLoc's vertical integration strategy since competitors can purchase
batteries from other sources.
B) increase the rarity of TerraLoc's vertical integration strategy since TerraLoc has reduced
uncertainties related to increased battery life in its products.
C) increase the imitability of TerraLoc's vertical integration strategy since competitors can
purchase traditional batteries from other sources.
D) decrease the imitability of TerraLoc's vertical integration strategy since it increases
competitors' flexibility.
Answer: B
Diff: 3
Costly to Imitate
88) TerraLoc is most likely to use the ________ organizational structure.

A) matrix
B) product-based multidivisional
C) functional
D) geography-based multidivisional
Answer: C
Diff: 2
89) If TerraLoc were to use a U-form organizational structure and the CEO decided to use
budgets as a management control but wanted to make sure that the managers did not become too
focused on the short term, the CEO should do all of the following except
A) use an open process in developing budgets.
B) determine budgets for her managers and allow them to focus only on meeting the budgets.
C) use both quantitative and qualitative evaluations of managers' performance.
D) make sure that the process used in developing budgets reflects the economic reality facing the
firm's managers.
Answer: B
Diff: 3
23
90) If TerraLoc wanted to expand into selling its GPS units through company-owned retail
stores, this would be an example of ________
C) opportunism.
D) a joint venture.
Answer: A
Diff: 2
91) Define vertical integration and differentiate between forward vertical integration and
backward vertical integration.
Answer: Vertical integration is a corporate strategy. A firm's level of vertical integration is
simply the number of steps in this value chain that a firm accomplishes within its boundaries.
More vertically integrated firms accomplish more stages of the value chain within their
boundaries than less vertically integrated firms. Less vertically integrated firms accomplish
fewer stages of the value chain within their boundaries than more vertically integrated firms. A
firm engages in backward vertical integration when it incorporates more stages of the value
chain within its boundaries and those stages bring a firm closer to the beginning of the value
chain, i.e., closer to gaining access to raw materials. A firm engages in forward vertical
integration when it incorporates more stages of the value chain within its boundaries and those
stages bring a firm closer to the end of the value chain, i.e., closer to interacting directly with
final customers.
Diff: 2
92) Identify the three fundamental explanations of how vertical integration can create value and
discuss how value is created under each.
Answer: There are three explanations of how firms can create value through vertical integration:
a. Opportunism-Based Explanation: Reducing opportunistic threats from a firm's buyers and
suppliers due to any transaction specific investments it may have made.
b. Capabilities-Based Explanation: By enabling a firm to exploit its valuable, rare, and costly-
to-imitate resources and capabilities.
c. Flexibility-Based Explanation: When the decision-making environment is uncertain, firms
create value by engaging in vertical integration. Under high uncertainty vertical integration can
commit a firm to a costly-to-reverse course of action and the flexibility of a non-vertically
integrated may be preferred.
Diff: 2
of Opportunities
93) Discuss the opportunism-based explanation of vertical integration value creation and identify
24
when, under this explanation, firms should vertically integrate. In your answer be sure to clearly
define opportunism and the role that transaction-specific investments play in the opportunism-
based explanation.
Answer: One of the best known explanations of when vertical integration can be valuable
focuses on using vertical integration to reduce the threat of opportunism. Opportunism exists
when a firm is unfairly exploited in an exchange. Obviously, when one of its exchange partners
behaves opportunistically, this reduces the economic value of a firm. The threat of opportunism
is greatest when a party to an exchange has made what are called transaction-specific
investments. A transaction-specific investment is any investment in an exchange that has
significantly more value in the current exchange than it does in alternative exchanges.
One way to reduce the threat of opportunism is to bring an exchange within the boundary of a
firm. That is, one way to reduce the threat of opportunism is to vertically integrate into this
exchange. This way, managers in a firm can directly monitor and control this exchange instead
of relying on the market to manage this exchange. If the exchange that is brought within the
boundary of a firm brings a firm closer to its ultimate suppliers, it is an example of backward
vertical integration. If the exchange that is brought within the boundary of a firm brings a firm
closer to its ultimate customer, it is an example of forward vertical integration.
Of course, firms should only bring market exchanges within their boundaries when the cost of
vertical integration is less than the cost of opportunism. If the cost of vertical integration is
greater than the cost of opportunism, then firms should not vertically integrate into an exchange.
This is the case for both backward and forward vertical integration decisions.
Diff: 2
of Opportunities
25
94) Discuss the firm capabilities-based explanation of how vertical integration can create value.
In your discussion identify the two broad implications of this approach and when, under this
approach, firms should engage in vertical integration.
Answer: The capabilities-based explanation of how vertical integration can create value focuses
on firm capabilities and their ability to generate sustained competitive advantages. This approach
has two broad implications. First, it suggests that firms should vertically integrate into those
business activities where they possess valuable, rare, and costly-to-imitate resources and
capabilities. This way, firms can appropriate at least some of the profits that using these
capabilities to exploit environmental opportunities will create. Second, this approach also
suggests that firms should not vertically integrate into business activities where they do not
possess the resources necessary to gain competitive advantages. Such vertical integration
decisions would not be a source of profits to a firm since they do not possess any of the valuable,
rare, or costly-to-imitate resources needed to gain competitive advantages in these business
activities. Indeed, to the extent that some other firms have competitive advantages in these
business activities, vertically integrating into them could put a firm at a competitive
disadvantage. Under this approach, a firm should pursue vertical integration into an activity
when it has valuable, rare, and costly-to-imitate resources in a business activity, vertically
integrate into that activity. If a firm does not have valuable, rare, and costly-to-imitate resources
in a business activity and other firms already engaging in this activity do, the firm will find itself
at a competitive disadvantage.
Diff: 2
95) Discuss the flexibility-based explanation of vertical integration. In discussing this

explanation be sure to define flexibility, the role of uncertainty in this explanation, and identify
when, under this explanation, firms should engage in vertical integration.
Answer: The flexibility-based explanation of vertical integration focuses on the impact of
vertical integration on a firm's flexibility. Flexibility refers to how costly it is for a firm to alter
its strategic and organizational decisions. Flexibility is high when the cost of changing strategic
choices is low; flexibility is low when the cost of changing strategic choices is high. In general,
vertical integration reduces flexibility since it has committed its organizational structure, its
management controls, and its compensation policies to a particular vertically integrated way of
doing business. When a decision-making environment is uncertain, that is when the future value
of an exchange cannot be known; when investments in that exchange are being made, the value
of vertical integration is decreased and should be avoided.
Diff: 2
26
96) Within the flexibility-based approach to vertical integration when should firms engage in
strategic alliances instead of vertical integration, and what are the advantages of alliances under
these conditions?
Answer: A flexibility-based approach to vertical integration suggests that rather than vertically
integrating into a business activity whose value is highly uncertain, firms should not vertically
integrate and, instead, should form a strategic alliance to manage this exchange. A strategic
alliance is more flexible than vertical integration but still gives a firm enough information about
an exchange to estimate its value over time.
An alliance has a second advantage in this setting. The downside risks associated with investing
in a strategic alliance are known and fixed. They equal the cost of creating and maintaining the
alliance. If an uncertain investment turns out to not be valuable, parties to this alliance know the
maximum amount they can lose, an amount equal to the cost of creating and maintaining the
alliance. On the other hand, if this exchange turns out to be very valuable, then maintaining an
alliance can give a firm access to this huge upside potential.
Diff: 2
97) Identify three reasons why a firm may be able to create value through vertical integration
when most of its competitors are not able to create value through vertical integration.
Answer: There are at least three reasons why vertical integration can be rare. First, a firm may
have developed a new technology or a new approach to doing business that requires its business
partners to make substantial transaction-specific investments. Firms that engage in these
activities will find it in their self-interest to vertically integrate, while firms that have not
engaged in these activities will not find it in their self-interest to vertically integrate. If these
activities are rare and costly to imitate, they can be a source of competitive advantage for a
vertically integrating firm. Second, a firm may have unusual skills or capabilities. If these skills
or capabilities are valuable and rare, then vertically integrating into businesses that exploit these
capabilities can enable a firm to gain at least a temporary competitive advantage. Finally, a firm
may be able to gain an advantage from vertically integrating when it resolves some uncertainty it
faces sooner than its competition. In this situation, the firm no longer needs to retain the
flexibility and can gain some of the advantages of vertical integration sooner than its competitors
and can gain at least a temporary competitive advantage.
Diff: 2
Costly to Imitate
27
98) Identify the organizational structure that is used to implement a vertical integration strategy
and why from a CEO's perspective coordinating functional specialists to implement a vertical
integration strategy almost always involves conflict resolution and how this conflict can be
resolved.
Answer: The organizational structure that is used to implement a cost-leadership and product-
differentiation strategy, the functional or U-form structure, is also used to implement a vertical
integration strategy. Indeed, each of the exchanges included within the boundaries of a firm as a
result of vertical integration decisions are incorporated into one of the functions in a functional
organizational structure. From a CEO's perspective, coordinating functional specialists to
implement a vertical integration strategy almost always involves conflict resolution. Conflicts
among functional managers in a U-form organization are both expected and normal. Indeed, if
there is no conflict among certain functional managers in a U-form organization, then some of
these managers probably are not doing their jobs.
The task facing the CEO is not to pretend this conflict does not exist, or to ignore it, but to
manage it in a way that facilitates strategy implementation. The CEO's job is to help resolve
conflicts in ways that facilitate the implementation of the firm's strategy. Functional managers do
not have to "like" each other. However, if a firm's vertical integration strategy is correct, the
reason that a function has been included within the boundaries of a firm is that this decision
creates value for the firm. Allowing functional conflicts to get in the way of taking advantage of
each of the functions within a firm's boundaries can destroy this potential value.
Diff: 3
28
99) Discuss the role of the budgeting process as a control mechanism in vertically integrated U-
form organizations, the potential unintended negative consequence budgets can have, and three
things CEOs can do to counter this potential consequence.
Answer: Budgeting is one of the most important control mechanisms available to CEOs in
vertically integrated U-form organizations. Indeed, in most U-form companies, enormous
management effort goes into the creation of budgets and the evaluation of performance relative
to budgets. Budgets are developed for costs, revenues, and a variety of other activities performed
by a firm's functional managers. Often, managerial compensation and promotion opportunities
depend on the ability of a manager to meet budget expectations.
Although budgets are an important control tool, they can also have unintended negative
consequences. For example, the use of budgets can lead functional managers to overemphasize
short-term behavior that is easy to measure and underemphasize longer-term behavior that is
more difficult to measure. CEOs can do a variety of things to counter the "short-termism" effects
of the budgeting process. Three things a CEO can do to counter "short-termism" are to
1. Ensure that the process used in developing budgets is open and participative
2. Make sure the budgeting process reflects the economic reality facing functional managers
and the firm, and
3. Augment quantitative evaluations of a functional manager's performance with qualitative
evaluations of that performance.
Diff: 3
100) What type of compensation approach goes best with the flexibility explanation of vertical
integration?
Answer: The creation of flexibility in a firm depends on employees being willing to engage in
activities that have fixed and known downside risks and significant upside potential. Stock
options for individual, corporate, or group performance is apt in this situation.
Diff: 1
29
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Title: Elijah Cobb

1768-1848 a Cape Cod skipper
Author: Elijah Cobb
Author of introduction, etc.: Ralph Delahaye Paine
Release date: September 12, 2023 [eBook #71624]
Language: English
Original publication: New Haven, CT: Yale University Press,

1925
Credits: Carol Brown, Steve Mattern and the Online Distributed

Proofreading Team at https://www.pgdp.net (This book
was produced from images made available by the
HathiTrust Digital Library.)
*** START OF THE PROJECT GUTENBERG EBOOK ELIJAH

COBB ***
Transcriber’s Note:
Spelling and punctuation are non-standard. Occasional sentences
end without punctuation or begin with a lower case letter. Quotation
marks appear randomly through the text. A double close quote is
frequently used to indicate an abbreviated word. A lower case "s"
was substituted for ſ throughout the book. The letter ‘c’ with a cedilla
above it is transcribed as [‘c]. The letter ‘o’ with an umlaut below is
transcribed as [o:].
Footnotes were renumbered sequentially and moved to the end of
the book. Footnotes [10], [11], [12], and [15] have multiple anchors.
Page headers were converted to sidenotes.
In the Account of Belem Port Charges, a mid-dot was substituted
for a handwritten non-number non-letter character. Illegible
handwriting is identified [TN illegible handwriting].
Elijah Cobb
PUBLISHED ON THE FOUNDATION
ESTABLISHED IN MEMORY OF
PHILIP HAMILTON McMILLAN
OF THE CLASS OF 1894, YALE COLLEGE
[From a French pastel, 1794.]
“He was tall and straight, of fine figure,
his face very pleasant to look upon. He
loved children & was loved by them,
Distinguished for his sturdy integrity, as
well as talent, loved and respected by all
who knew him, he died at the age of 80.”
Elijah Cobb
1768-1848
A Cape Cod Skipper

WITH A FOREWORD BY
RALPH D. PAINE
New Haven: Yale University Press
London: Humphrey Milford: Oxford University Press
1925
Copyright 1925 by Yale University Press
Printed in the United States of America

THE
PHILIP HAMILTON McMILLAN
MEMORIAL PUBLICATION
FUND
The present volume is the fourth work published by the Yale

University Press on the Philip Hamilton McMillan Memorial
Publication Fund. This Foundation was established December 12,
1922, by a gift to Yale University in pursuance of a pledge
announced on Alumni University Day in February, 1922, of a fund of
$100,000 bequeathed to James Thayer McMillan and Alexis Caswell
Angell as Trustees, by Mrs. Elizabeth Anderson McMillan, of Detroit,
to be devoted by them to the establishment of a Memorial in honor of
her husband.
He was born in Detroit, Michigan, December 28th, 1872, prepared
for college at Phillips Academy, Andover, and was graduated from
Yale in the Class of 1894. As an undergraduate he was a leader in
many of the college activities of his day, and within a brief period of
his graduation was called upon to assume heavy responsibilities in
the management and direction of numerous business enterprises in
Detroit; where he was also a Trustee of the Young Men’s Christian
Association and of Grace Hospital. His untimely death, from heart
disease, on October 4th, 1919, deprived his city of one of its leading
citizens and his University of one of its most loyal sons.
Table of Contents
Page
Foreword 1
Biographical Sketch 17
Letters 85
Illustrations
Elijah Cobb Frontispiece
Ship Ten Brothers facing page 56
Port Charges in 1811 88
Ivory, Coffee and Palm Oil: a Typical Bill of
Lading 96
FOREWORD
uch memoirs as were left to posterity by Captain Elijah

Cobb are fragmentary, a few letters and a narrative of
certain voyages, yet they serve to portray with singular
fidelity the figure of a New England shipmaster of a
century and more ago against the backgrounds of his
time. Seafaring has long since ceased to be interwoven
with the lives and interests of the American people as a whole. No
fact is more difficult to realize than that we were once a maritime
nation which, from father to son, earned its bread upon the face of
the waters. The abandoned farm with the grassy cellar-hole and the
lilac bush surviving by the stone doorstep is the accepted symbol of
the Puritan and Pilgrim pioneers. Just as eloquent and significant are
the sloping shores of a hundred bays and inlets where the little brigs,
sloops, and ketches were built to trade with Virginia, with the West
Indies, with the ports of Europe.
At the beginning of the Revolution, in fact, there were more sailors
than farmers in the coastwise settlements of Maine and New
Hampshire. Shipping was the chief industry of Boston. On Cape
Cod, where Elijah Cobb was born and raised, the boys followed the
sea instead of the plow, and the dry land was merely a roosting
place until they were old enough to sign on in a forecastle. The
proverbial Yankee traits of canny business dealings, handiness, and
resourceful hardihood were bred in those clumsy, home-made
vessels. The skipper was also a merchant who bought and sold and
bartered the cargoes that filled his holds. His crew risked their own
“adventures” in cash or merchandise, while his neighbors ashore
owned shares in the vessel and her enterprises. And every voyage
was a hazard that might make or break them.
Elijah Cobb is well worth bringing to light because he was so
completely typical, from his piety and his eccentric spelling to his
mastery of difficulties. The romance of the sea meant nothing to him,
although he sailed in continual peril of pirate and privateer and of
foundering in a gale of wind. Navigation was mostly by guesswork
and to us it seems miraculous that he and his kind were able to fetch
anywhere at all. What he called a good ship was not much larger
than a canal boat, with a few men and boys to handle it. Such was
the training school of the shipbuilders and seamen who, in
succeeding generations, were to win for the Stars and Stripes on the
high seas a commercial prestige that challenged the ancient
supremacy of Great Britain and achieved its superb climax in the
clipper ship era.
With unconscious art Elijah Cobb suggests to us the beginnings
of his own career. It could not be better done by the practised hand
of a novelist. His father, the master of a brig, dying at sea, left a
young widow with six small children in poverty on a forlorn Cape Cod
farm. The family could not be kept together. “Some of us, must leave
the perternal dwelling & seek subsistance among strangers—my
Bror., being the elder, was tried first, but wou’d not stay, & came
home crying—I was then, in my 6th year, & altho” too young to earn
my living, a place was offered me, & I left my dear Mother, for that
subsistance among strangers which she could not procure for me.”
For seven years this brave little codger toiled away from home
and then disabled himself by lifting beyond his strength. His dear
mother nursed him back to health and, in 1783, when he was in his
fourteenth year, he went to Boston to look for a voyage, with his
“whole wardrobe packed in a gin case, for a trunk.”
You can imagine him wandering down to the long wharf and
admiring the “monstrous size” of a new vessel, her great cables and
anchors, when the marvelous gentleman steps from her deck, and
signs him on for the voyage at $3.50 a month.
And so as a cook he sailed away for fever-stricken Surinam, or
Dutch Guiana. His wages, together with some presents from the
officers, enabled him to bring back a private “adventure” of a barrel
of molasses and some dried fruit. The trade with the West Indies had
flourished a full century before the Revolution. There was always a
market for salted codfish to feed the slaves of the sugar plantations.
The return cargoes were largely molasses for distilling New England
rum. These voyages had been extended to the mainland of South
America; to Surinam, where fish and lumber were exchanged for the
products of the Dutch East Indies; to Honduras, whose logwood and
mahogany were cut for export to England.
Young Elijah Cobb escaped the swamp fever and returned with
twenty silver dollars to put into his mother’s hands, “probably, the
largest sum of money she had possessd. since she had been a
widow—& that, from her poor little sick Boy.” No wonder her tears
flowed freely, upon the occasion. For some time thereafter he was
sailing coastwise and working his way up to a mate’s berth. Then he
crossed the stormy Western Ocean and felt qualified for command.
He must have been twenty-three years old when he became master
of a brig. This was not unusually youthful. Nathaniel Silsbee of
Salem, a captain in the East India trade at nineteen, could say of his
own family:
“Connected with the seafaring life of myself and my brothers,
there were some circumstances which do not usually occur in one
family. In the first place each of us commenced that occupation in
the capacity of clerk, or supercargo, myself at the age of fourteen
years; my brother William at about fifteen; and my brother Zachariah
at about sixteen and a half years. Each and all of us obtained the
command of vessels and the consignment of their cargoes before
attaining the age of twenty years, viz., myself at the age of eighteen
and a half, my brother William at nineteen and a half, and my brother
Zachariah before he was twenty years old.”
It was during his first voyage to Europe as a shipmaster that
Captain Elijah Cobb showed himself to be a young man of
exceptional courage and contrivance. Steering for Cadiz, he learned
that it was unsafe to venture too close to Gibraltar and so he
changed his course to Coruna in the Bay of Biscay. The swift
corsairs of the Dey of Algiers were cruising like wolves to snap up
merchantmen and enslave their Christian crews. In his journal
Captain Cobb states that “the Algerines were at war with America.”
This is not quite accurate, for the United States delayed declaring
war on the Barbary pirates until 1801, several years after this.
The infant republic, left without any naval force at the close of the
Revolution, was compelled to submit to the most humiliating insults
and depredations at the hands of these lawless sea rovers. It seems
incredible to recall the gifts and bribes that were abjectly paid the
Dey of Algiers as tribute, including a handsome new frigate, nor can
one read the newspaper account without a blush.
Portsmouth, N. H., Jan 20, 1798. On Thursday morning,
about sunrise, a gun was discharged from the frigate
Crescent, as a signal for getting under way. May she arrive in
safety at the place of her destination, as a present to the Dey
of Algiers of one of the finest specimens of elegant naval
architecture which was ever borne on the Piscataqua’s
waters. Richard O’Brien, who was ten years a prisoner at
Algiers, took passage in the frigate and is to reside at Algiers
as Consul-General of the United States to all the Barbary
States. The Crescent has many valuable presents for the
Dey, including twenty-six barrels of dollars. It is worthy of
remark that the captain, the chief officers and many of the
privates of the Crescent frigate have been prisoners at
Algiers.
When Captain Cobb prudently went wide of the Strait of Gibraltar,
in 1794, the Dey was running amuck among American merchant
vessels. As many as ten of these luckless ships had been taken in
one cruise of a brig and three xebecks out of Algiers, and more than
a hundred Yankee seamen thrown into dungeons to toil under the
lash of Arab slave drivers. And honest seamen were begging from
door to door in Boston and Salem to collect funds for the ransom of
this fellow mariner or that, with whom they had been shipmates. The
tourist who visits the Algiers of today, an ornate French metropolis
with the ancient Arab town climbing the hill behind it, can behold
strongholds whose stones were laid by tortured, perishing sailormen
from the land of the brave and the free.
Bearing safely away from those ticklish waters, Captain Elijah
Cobb found himself out of the frying-pan and into the fire. England
had gone to war with France in 1793 when most of Europe was
allied in the effort to stamp out the flames of the Revolution. The
rights of neutrals were tossed aside. American shipping was ground
between two millstones. All was fair in war. British and French
cruisers seized our ships for engaging in trade which our own
interpretation of international law held to be perfectly legitimate.
More than a hundred American vessels were taken by France in
1793 on pretext of trading with England or her colonies.
Captain Cobb could find no reason why his voyage to Spain
should be molested and he was too stiff-necked to submit without
protest. His papers were stolen by the prize master and there
seemed to be no means of redress whatever. He had no friends in
France, official or otherwise, and his ship was tied up in the port of
Brest while a starving populace looted her cargo of foodstuffs. The
Reign of Terror was at its height. Chaos and bloodshed ruled in
place of government. The guillotine was a law unto itself. In a period
of fifteen months, 17,000 persons had been formally executed in
France. The number of those who were shot, drowned, or otherwise
massacred without pretense of a trial can never be known, but must
be reckoned far greater.
All of which may have harrowed the soul of Captain Elijah Cobb,
but he kept his eye firmly fixed on his own predicament. His ship had
to be released and indemnity paid him for detention and loss of
cargo. After six weeks of wrangling with minor officials, he resolved
to go to Paris and seek satisfaction. A stubborn mariner who shoved
obstacles aside, behold him making this dangerous journey with an
official courier, for armament loaded pistols and a blunderbuss, in a
carriage that was “musquet shot proof” and driving like Jehu night
and day, without a wink of sleep all the way from Brest, more than
six hundred miles.
Undismayed, persistent, Captain Elijah Cobb pursued his way
through the weltering horrors of Paris, merely noting that he saw one
thousand persons beheaded by “that infernal machine,” the
guillotine. Thwarted at every turn, he carried his case to none other
than Robespierre himself. The audacity of this Yankee seafarer was
amazing. He made dollars seem heroic. His motive was really better
than this—the compulsion of duty toward the owners who had
entrusted him with the ship and her lading. Citizen Robespierre,
Carlyle’s sea-green monster, spoke the word that swiftly untangled
the affair.
Shortly after this, Robespierre was overthrown and outlawed by
the Convention. Trying to commit suicide with a pistol, the bullet did
no more than shatter his jaw. And now for the final scene in the
Place de la Concorde. Captain Cobb stood there and beheld it with
his own eyes, on the 9th Thermidor (July 28, 1794). Robespierre
rides on a tumbril, the mangled jaw bound in dirty linen. The
Gendarmes point their swords at him to show the people who he is.
A woman leaps upon the tumbril and screams: “Thy death rejoices
my very heart. Scélérat, go down to Hell with the curses of all wives
and mothers!” At the scaffold they stretch him on the ground. Then
Samson, the burly executioner, lifts him aloft, wrenches off his coat,
tears the dirty linen from his jaw. A hideous cry and the head of
Robespierre is shorn from his shoulders.
And how does Captain Cobb describe this gigantic episode? As if
he were making an entry in a ship’s log. “Before I left the country; I
saw Robertspeirs head taken off, by the same Machine—But to
return to my induvidual, and embarised affairs….” This was
characteristic of the New England breed of seafarers. They are
exasperating at times. They saw so much and told so little. The
wonders of the world left them unmoved. The pen was an awkward
tool to handle and they were as thrifty with words as with pence.
You will find Captain Cobb waxing loquacious, however, when it
comes to the intricate and difficult business of due bills and foreign
exchange or smuggling gold out of France. All this is of value to the
modern reader as showing how extremely competent were these
master mariners as bankers and merchants. It helps to explain why
they became the leaders in their communities when they retired from
the quarter-deck, and why they were so successful, as a class, in
commercial pursuits ashore. They were literally the first American
captains of industry, men accustomed to large responsibilities and
the tests of critical emergencies.
It throws a curious slant on the moral code of the time to find
Elijah Cobb so profoundly pious and yet so ready to bribe and
smuggle with a clear conscience. In a way, this point of view was
inherited from the American Revolution. The harsh restrictions laid
by the mother country on the commerce of her colonies had led to
smuggling as an easy road to wealth. In almost every town
prominent characters were named who, under British rule, had
stowed in their attics and cellars goods that were not for the officers
of the King’s Customs to see. To these harbors came vessels built
for speed and laden with contraband wares gathered in the colonies
of France and Spain. And reputable merchants were always ready to
run the stuff ashore. Thus, on the very day when the farmers of
Middlesex drove the British out of Lexington, John Hancock was to
have stood trial for defrauding the Customs.
And so Elijah Cobb, pillar of the Universalist church in his later
years, is not in the least ashamed to admit that he did a very pretty
job of running rum to a crew of skilled smugglers between the Cove
of Cork and the Scilly Islands.
It was adroit intelligence and knowledge of the world that enabled
him to escape from the trap of the British Orders in Council that
ruined hundreds of American shipmasters and owners. These high-
handed measures aimed against Napoleon, together with his Milan
Decree launched in retaliation, made American vessels liable to
confiscation in almost every foreign port to which they traded. It was
not a proud era in our national history. The time was not far distant
when the cry of “Free Trade and Sailors’ Rights” was to sound the
note of the Second War with England.
Elijah Cobb, loading a return cargo of wines and dried fruit at
Malaga, in 1806, learned that England forbade such a voyage. He
decided to take a sporting chance of slipping by the English cruisers
in the “Gut of Gibralter.” The wind failing him at the wrong time, he
obtained his clearance papers by bribing an official. In the opinion of
Elijah Cobb there was more than one way to skin a cat.
The intolerable aggressions aimed at American commerce,
including the impressment of seamen, had caused President
Thomas Jefferson to use the embargo as a weapon in reprisal. If he
could not protect American ships and sailors on the high seas, he
could, at least, he thought, save them by keeping them at home.
Maritime New England had been reluctant to accept an embargo
policy. Josiah Quincy had begged Congress to remember that the
ocean could not be abandoned by his people “of whom thousands
would rather see a boat-hook than all the sheep-crooks in the world.”
However, the first Embargo Bill was passed in December of 1807,
forbidding the departure of American vessels for any foreign port.
The results were futile and disastrous. Ports filled with dismantled
ships, counting-houses deserted, grass growing in the waterside
streets failed to affect perfidious Albion. Nevertheless, the embargo
was tried again in the spring of 1812.
Captain Cobb was loading flour at Alexandria, Virginia, for a
European voyage when the news of another embargo came like a
blow from a clear sky. Hard-bitten New Englander, he had refused to
heed the warnings. His own Massachusetts Legislature had
denounced such Acts of Congress as unconstitutional, and a
hundred towns had adopted resolutions of protest. However, Mr.
Madison’s latest embargo was a condition and not a theory, so Elijah
Cobb made haste to get to sea before the officials could lawfully stop
him. He had twenty-four hours of grace. A gale of wind was blowing,
so violent that the ship was almost torn away from the wharf. Here
was the efficient shipmaster in action—a hundred tons of stone
ballast to be landed, three thousand barrels of flour to be stowed in
the hold and secured, provisions, wood, and water to be taken
aboard, a crew to be found and signed on, and the vessel cleared at
the custom house.

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Strategic Management and Competitive

Advantage 5th Edition Barney Test

1) Business strategy is a firm's theory of how to gain competitive advantage by operating in

9) Opportunism exists when a firm is unfairly exploited in an exchange.

14) A transaction-specific investment is any investment in an exchange that has significantly

15) Transaction-specific investments make parties to an exchange vulnerable to opportunism,

24) Flexibility is always valuable.

38) From a CEO's perspective, coordinating functional specialists to implement a vertical

40) Capability explanations of vertical integration acknowledge the importance of firm-specific

41) Vertical integration is a type of

49) ________ exists when a firm is unfairly exploited in an exchange.

64) The major substitute for vertical integration is

66) From a CEO's perspective, coordinating functional specialists to implement a vertical

72) According to the opportunism-based explanations of vertical integration, which of the

73) According to the capabilities-based explanations of vertical integration, which of the

75) ________ are payments to employees in a firm's stock.

80) Firm-specific investments are a type of ________ investments.

88) TerraLoc is most likely to use the ________ organizational structure.

95) Discuss the flexibility-based explanation of vertical integration. In discussing this

Title: Elijah Cobb

Author: Elijah Cobb

Author of introduction, etc.: Ralph Delahaye Paine

Release date: September 12, 2023 [eBook #71624]

Original publication: New Haven, CT: Yale University Press,

Credits: Carol Brown, Steve Mattern and the Online Distributed

*** START OF THE PROJECT GUTENBERG EBOOK ELIJAH

A Cape Cod Skipper

New Haven: Yale University Press

London: Humphrey Milford: Oxford University Press

Printed in the United States of America

The present volume is the fourth work published by the Yale

uch memoirs as were left to posterity by Captain Elijah

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