Purchase Solution

horizontal integration and vertical integration

Not what you're looking for?

Ask Custom Question

What is the difference between horizontal integration and vertical integration? How does antitrust policy affect the nature of mergers?

Purchase this Solution

Solution Summary

Horizontal integration and vertical integration are contrasted.

Solution Preview

Vertical integration is application integration in support of a particular type of business, such as healthcare, finance, manufacturing, etc. These industries require a specific type of integration typically around standards they employ, such as HIPPA (healthcare), UCCnet (retail), RossettaNet (high-tech), and GSTP (finance).

Horizontal integration is integration types that are common to all industries, such as basic integration services including transformation, routing, adapters, flow control, etc.

Advantages of Horizontal Integration: economies of scale-achieved by selling more of the same product, economies of scope-achieved by sharing resources common to different products, increased market power (over suppliers and downstream channel members) and reduction in the cost of international trade by operating ractories in foreign markets.

Disadvantages of Horizontal ...

Purchase this Solution

Free BrainMass Quizzes
Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.