Vertical integration is when a company expands its business operations into different stages of production.
The main purpose of vertical integration is to increase efficiency and gain a competitive advantage. By expanding its business operations into different stages of production, a company can better control its supply chain, leading to lower costs and improved quality control. In addition, vertical integration can also help a company to better exploit economies of scale, as it can produce larger quantities of inputs at a lower per-unit cost. Finally, vertical integration can also provide a company with a greater degree of security, as it is less reliant on external suppliers.
Learn more about economic: https://brainly.com/question/25745683
#SPJ4
