Difference between revisions of "Vertical integration"
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According to [[Managerial Accounting by Braun, Tietz (5th edition)]], | According to [[Managerial Accounting by Braun, Tietz (5th edition)]], | ||
:[[Vertical integration]]. The acquisition of companies within one's supply chain. | :[[Vertical integration]]. The acquisition of companies within one's supply chain. | ||
| + | According to the [[Strategic Management by David and David (15th edition)]], | ||
| + | :[[Vertical integration]]. A combination of three strategies: backward, forward, and horizontal integration, allowing a firm to gain control over distributors, suppliers, and/or competitors respectively. | ||
[[Category: Strategic Management]][[Category: Articles]][[Category: Accounting]] | [[Category: Strategic Management]][[Category: Articles]][[Category: Accounting]] | ||
Latest revision as of 15:32, 17 July 2020
Vertical integration this occurs when a company produces its own inputs (backward integration) or when a company owns the outlets through which it sells its products (forward integration).
Definitions
According to the Corporate Strategy by Lynch (4th edition),
- Vertical integration. This occurs when a company produces its own inputs (backward integration) or when a company owns the outlets through which it sells its products (forward integration).
According to Managerial Accounting by Braun, Tietz (5th edition),
- Vertical integration. The acquisition of companies within one's supply chain.
According to the Strategic Management by David and David (15th edition),
- Vertical integration. A combination of three strategies: backward, forward, and horizontal integration, allowing a firm to gain control over distributors, suppliers, and/or competitors respectively.
