Backward integration

Backward integration is the process whereby an organization acquires the activities of its inputs, e.g. manufacturer into raw material supplier.

Definitions

According to the Corporate Strategy by Lynch (4th edition),

Backward integration. The process whereby an organization acquires the activities of its inputs, e.g. manufacturer into raw material supplier.

According to the Strategic Management by David and David (15th edition),

Backward integration. A strategy seeking ownership or increased control of a firm's suppliers, such as a manufacturer acquiring its raw material source firms.