THE VIRGINIA DYNASTY 1801 1825
AMERICAN INDUSTRIALIZATION FACTORY SYSTEM AND MARKET REVOLUTION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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shareholders
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horizontal integration
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vertical integration
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holding company
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Detailed explanation-1: -Vertical integration is the business arrangement in which a company controls different stages along the supply chain. Instead of relying on external suppliers, the company strives to bring processes in-house to have better control over the production process.
Detailed explanation-2: -Since 2021, vertical integration has been at the center of the strategies of companies like Amazon, Apple, Ferrero, Tesla, and NVidia.
Detailed explanation-3: -There are three varieties of vertical integration: backward (upstream) vertical integration, forward (downstream) vertical integration, and balanced (both upstream and downstream) vertical integration.
Detailed explanation-4: -Vertical integration refers to the merger of companies that are in the same business but in different stages of production or distribution. For example, imagine John Shoes Ltd., a major shoe manufacturer, merges with Shoe Retail Inc., a chain of shoe-shops – that is an example of vertical integration.