PROS & CONS OFVERTICAL INTEGRATION

PROS & CONS OFVERTICAL INTEGRATION

• Use of a vertical integration strategy depends on
  • If it can enhance performance of strategy-critical activities to EITHER
    • Lower costs OR
    • Increase differentiation
  • Impact on
    • Investment costs
    • Flexibility & response times
    • Administrative overhead of coordination
  • If a competitive advantage can be created

Previous slide

Next slide

Back to the first slide

View Graphic Version