vertical integration
noun1
Economics, Sciences The integrating of successive stages in the production and marketing process under the ownership or control of a single management organization.
- The prevailing wisdom today is that any benefits of vertical integration tend to be outweighed by the greater advantages of specializing in a narrow range of vertical activities.2005, Robert M. Grant, chapter 13, in Contemporary strategy analysis, →ISBN, page 392:
- In the 1930s, Brandeis argued that large companies would inevitably exploit their workers, convert their profits into political influence, and corrode both the market and the machinations of government. But the Reagan administration and subsequent lawmakers have allowed vertical and horizontal integration on the theory that economies of scale often benefit both employees and consumers.2016 September 11, Derek Thompson, “America's Monopoly Problem”, in The Atlantic, →ISSN:
- Related terms
- vertically integrated
- Hypernyms
- integration