What is Horizontal Integration?

A definition of Horizontal Integration

“Horizontal integration is a business strategy where a company acquires or merges with other companies in the same industry level to expand its operations or market share.”

Horizontal Integration in Business Glossary - What is a Horizontal Integration?

Business Glossary > What is Horizontal Integration?


Examples of Horizontal Integration in a Sentence:

Horizontal integration helped the company increase its market share significantly.

The tech giant used horizontal integration to eliminate competition.

Through horizontal integration, the retail chain expanded across the country.

Why is Horizontal Integration Important in Business?

Understanding horizontal integration is important as it allows businesses to increase their market presence, reduce competition, and achieve economies of scale. This strategy can lead to increased profitability and market dominance in an industry.

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Associated Terms

Here are some associated business terms and synonyms for “Horizontal Integration”:

  • Consolidation
  • Merger
  • Acquisition Strategy

Disney Horizontal Integration

Disney utilized horizontal integration effectively when it acquired Pixar, Marvel, and Lucasfilm. These acquisitions enabled Disney to broaden its portfolio and strengthen its positioning in the entertainment industry.

Final Notes on Horizontal Integration

When considering horizontal integration, businesses should evaluate:

  • The impact on competition
  • The potential for operational synergies
  • The alignment with long-term strategic goals

These elements are crucial for ensuring the success of horizontal integration strategies.


This has been a definition of Horizontal Integration meaning.

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