Successful businesses are always looking for ways to expand and increase their power in the marketplace, and one strategy that will help you get there is vertical integration. When a company is ...

Apple serves as one of the high-profile examples of vertical integration. Apple controls nearly all aspects of its hardware manufacturing, software development, marketing efforts and retail outlets.

This is forward vertical integration. Here is an example of backward vertical integration. Furry Coat Manufacturing makes warm shearling coats and buys the raw materials from Sheepy Farms.

Lincoln Watase, CEO and President of Yum Yum Donut Shops, lists the different ways that vertical integration helps a business maximize their profit opportunities, control the quality of the supplies, ...

Vertical integration is the merging together of two businesses that are at different stages of production—for example, a food manufacturer and a chain of supermarkets.

Reviewed by Khadija Khartit Fact checked by Suzanne Kvilhaug Vertical integration makes sense as a strategy, as it allows a company to reduce costs across various parts of production, ensures ...

Suggesting Apple throw billions of dollars at vertical integration simply because a competitor is integrated does not adequately weigh the costs and risks of the strategy.

So, that's actually a really prime example of vertical integration, a company actually willing to give up its REIT status to have several layers of the supply chain.

Bottom line In the long term, vertical integration is a good thing to do for steelmakers. The mining segment can even play its role in the company's earnings, like in ArcelorMittal's case.