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ioda
3 years ago
10

What is vertical integration?

History
2 answers:
sergejj [24]3 years ago
7 0

Answer:

Vertical integration is a theory that describes a style of ownership and control. Vertically integrated companies are linked by a hierarchy and share the same owner. Generally, members of this hierarchy develop different tasks that combine to meet a common need. That common need comes from generating economies of scale in each company, and synergies within the corporation. All this translated into the search for greater profits as well as generating greater added value from the primary sector, to the final consumer.

The classic example of vertical integration is that of oil companies: the same company can gather under its control tasks as diverse as exploration, drilling, production, transportation, refining, commercialization, commercial distribution and retail sale of products that process.

arlik [135]3 years ago
5 0

A vertical integration consists of companies that acquire a company that operates either before or after the acquiring company in the production process.

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Very often in the historical text, the people that wrote something have been very subjective, not objective. Thus the writings of these two Arab geographers can be very misleading, as they described what they saw with their own eyes, but also with using their own perception. That has proven numerous times to give very inaccurate depictions of a society and culture, like the depictions of the Romans for the Celts, or of the Greeks for the Scythian female warriors that they named Amazons.

There's only one point of view unfortunately, and it is always much more reliable when multiple writings are available from people from multiple different backgrounds, or the best scenario if it is writings from the people in question.

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