Which one of the following is a defensive strategy?

A. Diversification C. Concentration
B. Vertical integration

To determine which one of the following options is a defensive strategy, we need to understand the meaning of each option.

A. Diversification: Diversification is a business strategy that involves expanding a company's operations by entering new markets or adding new products or services. This strategy aims to reduce risks by spreading investments across different areas. Generally, diversification is considered a more aggressive or growth-oriented strategy, rather than a defensive strategy.

C. Concentration: Concentration, also known as focus strategy, is a business strategy that involves focusing on a specific market segment or niche. This strategy aims to channel all resources and efforts into a particular area, creating a competitive advantage. Concentration is typically considered an offensive strategy or a growth-oriented strategy, rather than a defensive strategy.

B. Vertical integration: Vertical integration is a business strategy that involves expanding a company's operations either backward in its supply chain (towards its suppliers) or forward in its distribution chain (towards its customers). This strategy aims to gain more control over the production process, enhance efficiency, and reduce dependency on external parties. Vertical integration can be considered both as an offensive strategy, to strengthen a company's market position, or a defensive strategy, to protect it from disruptions or instability in the supply chain.

Based on the explanations above, the defensive strategy among the options provided is vertical integration (option B).