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Under what conditions might horizontal integration be inconsistent with the goal of maximizing profitability?

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Video Discussion Requirements:

Your initial post will be a Youtube OR Kaltura VIDEO (Non-presentation mode) least 3 – 5 minutes.

State your position on whether you agree or disagree with your peer’s statements.

Correct grammar, spelling, and punctuation are expected.

 

 

I will need to take the written paper and make a 3-5 minute video from it explaining the answers to the questions.

 

 

Discussion:

 

Choose (2) of the available prompts below:

 

Under what conditions might horizontal integration be inconsistent with the goal of maximizing profitability?

What is the difference between a company’s internal value chain and the industry value chain? What is the relationship between vertical integration and the industry value chain?

Why was it profitable for GM and Ford to integrate backward into component-parts manufacturing in the past, and why are both companies now buying more of their parts from outside suppliers?

When will an industry tend to become dominated by platform ecosystems? What will determine which platform ecosystems are more successful in an industry than others?

What value creation activities should a company outsource to independent suppliers? What are the risks involved in outsourcing these activities?

What steps would you recommend that a company take to build mutually beneficial, long-term, cooperative relationships with its suppliers?

 

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