By using vertical integration, Starbucks' main motive in introducing bakery products is to increase its:

Business

1 answer:

sergiy2304 [10]3 years ago

4 0

Answer:

By using vertical integration, Starbucks' main motive in introducing bakery products is to increase its:

value to customers by improving its product quality and overall organizational performance in the industry, and thus improving Starbucks' value chain.

Explanation:

Vertical integration is a corporate-level strategy which enables a company to own or control the supply, distribution, or retailing process to control the value or supply chain. Some of the advantages of vertical integration include controlling processes, reducing costs, and increasing efficiencies. This type of integration can be contrasted from horizontal integration, where a company acquires similar companies that are operating at the same value chain.

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