Why do you think vertical integration is normally the firat strategy to be pursued after concentration on a single business?
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Vertical integration makes sense as a strategy, as it allows a company to reduce costs across various parts of production, ensures tighter quality control, and ensures a better flow and control of information across the supply chain.
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The supply chain of a corporation is a network of companies that includes suppliers who offer raw materials and inventories, producers who may aid in the manufacturing process, warehouses, transportation and distribution facilities, and retailers who sell the finished product to the customer. Vertical integration allows a business to own or control some or all of the players in its supply chain.
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