Strategic Management: Formulation and Implementation

The Dimension Of Vertical Strategy

In any vertical integration strategy, conscious (or unconscious) decisions are made regarding:

Breadth Of Integrated Activities

The breadth of integrated activities is the number of tasks that firms perform in-house. Traditional concepts of vertical integration did not address the number of integrated activities that firms might undertake. Figure 8-2 contrasts the old view, represented by firm A, with examples of the expanded concept of vertical integration represented by firms B and C.