Vertical vs Horizontal Integration: What Are The Key Differences?

Key Differences Between Vertical Vs Horizontal Integration

Developing the supply chain of the company.

Reduction of the wastage and cost.

What Is Vertical Integration?

Vertical integration is the acquisition of other businesses at the same stage of the supply chain, while considering the inventory turnover ratio.

Advantages Of Vertical Integration

Vertical integration can reduce costs through bulk purchases and reduced transactions.

Backward Vertical Integration

Backward integration is a business strategy where a company acquires its suppliers to gain control over its supply chain and reduce costs.