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Vertical integration is often closely associated with vertical expansion which, in economics, is the growth of a business enterprise through the acquisition of companies that produce the intermediate goods needed by the business or help market and distribute its product.
However, the companies formed from the dismantling of the zaibatsu were later reintegrated. The dispersed corporations were reinterlinked through share purchases to form horizontally integrated alliances across many industries. Where possible, keiretsu companies would also supply one another, making the alliances vertically integrated, as well ...
Smithfield began buying hog-farming operations in 1990, making it a vertically integrated company. As a result, it was able to expand by over 1,000 percent between 1990 and 2005. [ 1 ] Vertical integration allows Smithfield to control every stage of pig production, from conception and birth, to slaughter, processing and packing, a system known ...
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Convinced of the need for vertical integration, he acquired Scarrone in 1974, a distribution company. [17] In 1981, the company set up its first international subsidiary, in Germany, the first in a rapid period of international expansion. [17] The first of many licensing deals with a designer was struck with Giorgio Armani in 1988. [19]
Nadec Foods is one of the largest vertically integrated dairy company in the world where all key activities needed to run a dairy business are managed in-house, including the milk production coming from six farms that host around 60,000 cows, two processing plants that produce over 1.5 million liters of milk per day, production of a total ...
' asset clique ') is a Japanese term referring to industrial and financial vertically integrated business conglomerates in the Empire of Japan, whose influence and size allowed control over significant parts of the Japanese economy from the Meiji period to World War II. A zaibatsu's general structure included a family-owned holding company on ...
Gasoline production provides another example of supply restraints and competitive dominance by means of vertical integration. Market foreclosure plays a consistent role in the dynamics of the gasoline industry and more specifically with large refineries with significant capabilities of production. Researchers have estimated that US wholesale ...