Asked by
kiley adams
on Dec 10, 2024
Verified
The acquisition of one firm by another could be an example of vertical integration but not an example of a strategic alliance.
Vertical Integration
A strategy where a firm expands its operations into different stages of production or distribution within the same industry.
Strategic Alliance
A formal pact made between multiple parties to achieve common aims, notwithstanding their continuing independence as organizations.
Acquisition
The process of obtaining control of another company by purchasing it or merging with it.
- Differentiate strategic alliances from mergers and acquisitions.
- Understand the principle and objective of vertical integration in controlling environmental dependencies.
Verified Answer
AS
Learning Objectives
- Differentiate strategic alliances from mergers and acquisitions.
- Understand the principle and objective of vertical integration in controlling environmental dependencies.