Wednesday, 3 July 2013

Vertical Integration & Horizontal Integration

Vertical Integration is when different parts of an organisation come under others involved in the same process.
An example could be a production company could produce films and also own a distribution company that gets them to the cinema on time, the company could even also own some of the cinemas which will show the film.

Horizontal Integration is when a company sets up and owns different companies that produce and then sell services or good similar to eachother. Basically, the company will produce different products and services within the same industry. Related to media, a company may own a TV channel, a magazine and also a radio station.


Bibliography
http://uk.answers.yahoo.com/question/index?qid=20090501031448AAYS9qX

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