Respuesta :
Horizontal integration enables firms to increase their organizational boundaries because the number of competitors decreases. This is demonstrated through the structure-conduct-performance model.
What is Horizontal integration?
A business approach known as "horizontal integration" involves one company expanding its operations within a certain industry at the same rate. Horizontal integrations assist businesses in increasing their size and revenue, entering new markets, diversifying their product lines, and lowering competition. The process of a corporation increasing production of goods or services at the same point in the supply chain is known as horizontal integration. A business might do this through internal growth, acquisition, or merger. If a business controls the vast majority of the market for that good or service, the process may result in monopoly. A business that unites with another at the same supply chain stage is said to be integrating horizontally. In other terms, two similar companies merge to form one.
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