oboloo Glossary

Vertical Forward Integration

oboloo Glossary

Vertical Forward Integration

Vertical forward integration is a growth strategy used by businesses to increase their control over an entire production and/or distribution process. This type of integration generally involves a company taking control of activities or operations that were previously conducted by other parties. By integrating activities such as manufacturing, distribution, and sales within the company, the goal is to increase efficiencies while reducing costs and improving customer service. Ultimately, vertical forward integration enables companies to develop greater control over the market and create more value.