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Why not horizontally integrated

Strategic Management

Hello sir, in question 7 you have marked the answer as concentric , but why not horizontally integrated ? To be horizontally integrated is it important to acquire other business in the same line..?

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Rajath Tumma

Rajath Tumma

CA Final

2K+

13-Mar-20 19:02

930

Answers (1)

Concentric diversification occurs when the diversification is in some way related to, but clearly differentiated from, the organization's current business. Horizontal integration is the process of a company increasing production of goods or services at the same part of the supply chain Hence as the leather company is now manufacturing bags also..bags are clearly differentiated from shoes


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