horizontal and vertical integration

[rookie1010]

can an ownership be both horizontal and vertically integrated.

e.g. if GAP which owns Banana Republic, Old Navy, and the GAP brands (horizontal integration) owns the cotton fields, cotton yarns,, dieing plants, weaving plants and markets then it would be classified as veritically integrated too, correct?

 

[UncleWai]

I thought this is about multi-variable calc -_-

 

[Heisenberg]

Originally posted by: UncleWai
I thought this is about multi-variable calc -_-

Me too. Economics makes me want to stab myself with a spoon.

 

[Atomicus]

In theory, yes.

But its easier to outsource the production to countries with cheaper labor and goods and sell it for huge profits.

 

[So]

Yes.

 

[rookie1010]

thanks for the replies

i always thought vertical and horizontal integration was mutually exclusive, hence if a company was vertically integrated then it could not be horizontally integrated and vice versa

apple was never truly vertically integrated since they were using motorola processors in the begining, correct?

 

[vi edit]

What do the 800 pound consumer good gorillas like Johnson & Johnson & GE classify as?

 

[So]

Originally posted by: rookie1010
thanks for the replies

i always thought vertical and horizontal integration was mutually exclusive, hence if a company was vertically integrated then it could not be horizontally integrated and vice versa

apple was never truly vertically integrated since they were using motorola processors in the begining, correct?

Apple's never been close to vertically integrated. They have no foundries of their own, no manufacturing plants....etc. Pretty much the only ways they are more integrated than dell is with a bigger in house software team and a motherboard design team.

 

[rookie1010]

thanks so

 

[VTHodge]

Originally posted by: vi_edit
What do the 800 pound consumer good gorillas like Johnson & Johnson & GE classify as?

I would call them "conglomerates". They have both verticle and horizontal elements, but also lots of non-associated business units.

 

[lokiju]

Originally posted by: Heisenberg

Originally posted by: UncleWai
I thought this is about multi-variable calc -_-

Me too. Economics makes me want to stab myself with a spoon.

Post it on Youtube!