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Company uses vertical integration because they want to be in control of all the process undertaken till the distribution to their end users. Being in control of it gives them the assurance that the qualities they want their product to have will be attained. In this way, if there would be dissatisfaction on part of the customer or while on the process, they know they have no other party to blame but could immediately take a look through their value chain and see which part needs reasonable adjustments. Vertical integration won’t be hustle because you don’t have to incorporate lots of other parties to successfully make or distribute your product. There is a direct objective from the top management and each teams assigned in processes could easily execute and exchange feedbacks with fast understanding because they carry the same code of conduct, rules and regulations, and objective. On the other hand, companies make use of horizontal integration because they want to focus on a specific process which they think is their edge especially in a competitive industry. These type of companies know which part to focus for an advantage in the market. They chose to hire hire suppliers or have another party to distribute their products because they could incur lesser costs. Of course, these companies don’t compromise lesser costs with quality. Once the lists of prospects are there, they’ll now choose which among these suppliers or distributors is closer to their work conduct or have the potential to catch-up with their demand. If it’s a company hat focuses on product design and manufacturing and have the third parties distribute, then they know that their product would be vastly scattered and would serve many

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