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Vertical Integration Strategy

oboloo Glossary

Vertical Integration Strategy

Vertical integration is a business strategy that involves expanding a company’s operations so it can control the supply chain from end to end. By controlling the entire production and distribution process, companies can generate greater profits and increase their competitive advantage. A vertical integration strategy allows businesses to minimize costs and maximize efficiency, while diversifying their offerings and providing better customer service. With a vertical integration strategy, it’s possible to produce and deliver products faster, cheaper, and more effectively than competitors.

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