Explore BrainMass

Keieretsu Network or "Forward" Verticle Integration

I am confused about a case and would appreciate clarification between the two supply chain strategies: Keiretsu and Verticle Integration.

The case,

A rice mill in South Carolina that purchases the trucking firm that transports its packaged rice to distributors, is this considered Keieretsu Network or "Forward" Verticle Integration?

Solution Preview

A keiretsu is a grouping or family of affiliated companies that form a tight-knit alliance to work toward each other's mutual success. The keiretsu system is also based on an intimate partnership between ...

Solution Summary

The solution helps clarify the confusion between Keieretsu Network and "Forward" Verticle Integration