An alternative to vertical integration that enables companies to obtain differentiation and cost savings without having to deal with the problems and costs associated with vertical integration is called .

The correct answer is letter "B": Cooperative relationships.

Explanation:

Cooperative relationships are used by companies in a supply chain aiming to behave as a unified group to ease the transactions between manufacturers and end-consumers by offering above-average services at competitive rates. In cooperative relationships, small companies act on behalf of the manufacturer without the need to own the small businesses but being benefited fro the brand name of the producer.

i would say their habit of breaking down.