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Management & Leadership vocabulary · Strategy and Planning

Horizontal integration

Meaning in management & leadership, with examples

nounAdvanced term

In management & leadership, horizontal integration means: Expansion by combining with businesses operating at the same stage of production or distribution.

In Turkish: yatay bütünleşme

How it is used

Use when comparing integration directions; the acquired business occupies a similar position rather than supplying the buyer.

Example sentences

  1. Buying another regional bakery was horizontal integration for the bread producer.

    Both businesses perform the same broad production activity.

  2. The report described the merger of two distributors as horizontal integration.

    Combining firms at one distribution stage differs from taking over a supplier.

Common collocations

  • horizontal integration strategy
  • achieve horizontal integration
  • strategyA long-term plan that sets out where an organisation wants to go and the main choices it will make to get there, such as which markets to enter and what to stop doing.
  • competitive advantageSomething that allows a company to do better than its competitors, such as lower costs, a stronger brand, better technology or more skilled people.

More terms: Strategy and Planning

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