Horizontal integration is a business strategy aimed at increasing market share by acquiring or merging with competitors, whereas vertical integration is a strategy aimed at expanding into different steps of the production path to gain control over the supply chain and reduce costs.
Horizontal integration and vertical integration are both business strategies aiming at expanding a company, but they do this in different manners. Horizontal integration is when a company acquires or merges with its competitors to increase its market share. This strategy works by eliminating competition and increasing the size and client base of the business.
On the other hand, vertical integration is a strategy where a company expands its operations into different steps of the same production path. For instance, a company may decide to start producing raw materials it uses in its production, distributing its products, or retailing its goods. This type of integration is aimed at gaining more control over the supply chain and reducing costs.
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It toke place in Europe
D. Farmers and ranchers
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