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What is the most likely generic strategic benefit of upstream vertical integration?
A. The supplier has returns exceeding the opportunity cost of capital.
B. It eliminates input cost distortion caused by the bargaining power of a strong customer.
C. It eliminates the sales price distortion caused by the bargaining power of a strong supplier.
D. The customer has returns lower than the firm's opportunity cost of capital.
Answer: A
Explanation:
Integration benefits include offsetting the bargaining power of strong suppliers and customers. If such parties have returns greater than the firm's opportunity cost of capital, the firm benefits even if no other advantages accrue from integration.
A. Option B
B. Option E
C. Option D
D. Option C
E. Option A
Answer: C,E
Explanation:
1.GLBP
To provide a virtual router, multiple switches (routers) are assigned to a common GLBP group.
Rather than having just one active router performing forwarding for the virtual router address, all
routers in the group can participate and offer load balancing by forwarding a portion of the overall
traffic.
2.VRRP
The Virtual Router Redundancy Protocol (VRRP) is a standards-based alternative to HSRP,
defined in IETF standard RFC 2338. VRRP is so similar to HSRP that you need to learn only
slightly different terminology and a couple of slight functional differences.
VRRP provides one redundant gateway address from a group of routers. The active router is
called the master router, while all others are in the backup state. The master router is the one with
the highest router priority in the VRRP group.
VRRP group numbers range from 0 to 255; router priorities range from 1 to 254 (254 is the
highest; 100 is the default).
The virtual router MAC address is of the form 0000.5e00.01xx, where xx is a two-digit hex VRRP
group number.
VRRP advertisements are sent at 1-second intervals. Backup routers can optionally learn the
advertisement interval from the master router.
By default, all VRRP routers are configured to preempt the current master router, if their priorities
are greater.
VRRP has no mechanism for tracking interfaces to allow more capable routers to take over the
master role.
3. HSRP
HSRP is a Cisco-proprietary protocol developed to allow several routers (or multilayer switches) to
appear as a single gateway address. RFC 2281 describes this protocol in more detail. Basically,
each of the routers that provides redundancy for a given gateway address is assigned to a
common HSRP group. One router is elected as the primary, or active, HSRP router, another is
elected as the standby HSRP router, and all the others remain in the listen HSRP state. The
routers exchange HSRP hello messages at regular intervals, so they can remain aware of each
other's existence, as well as that of the active router.
Reference: First Hop Redundancy protocol comparison (HSRP, VRRP, GLBP
(http://cciethebeginning.wordpress.com/2008/08/23/router-high-availability-protocol-comparison2/)
First Hop Redundancy
(http://packetlife.net/media/library/3/First_Hop_Redundancy.pdf)
Given: A developer is creating a use-case model for telephone installations. One of the
sub-flows in the "Manage Installer's Schedule" use case prepares a phone installer's daily schedule. After beginning work on the use case, the developer realizes that that there are important differences between contract, union, and non-union installers. For example, a standard shift is 8 hours, but contractors work shifts of variable lengths and union workers are assigned to 7.5-hour shifts. Instead of modifying the "Manage Installer's Schedule" use case, the developer decides to make two new use cases-"Manage Union Installer's Schedule" and "Manage Contractor Installer's Schedule"-that contain scheduling details specific to only union or contract workers. What relationship should be created between the new "Manage Union Installer's Schedule" use case and the new "Manage Contractor Installer's Schedule" use case?
A. None
B. Extend
C. Generalization
D. Include
Answer: A
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