I'm trying to determine whether integration between the following types of firms would constitute a horizontal, vertical, or conglomerate merger. I took a guess, but am not sure as to the reasoning behind each. Can you clarify the types of mergers for me?
A food company and a drug company = conglomerate merger
A milk producer and a cheese producer = horizontal merger
A computer chip manufacturer and a silicon producer = vertical merger
Conglomerate merger is merger between companies which are of unrelated industry like food and drug industry.
Horizontal merger is a ...
This explains the concepts of horizontal, vertical, and conglomerate merger with examples