Theoretical Framework of Vertical Integration in Strategic Management
Proceeding
DOI: 10.21661/r-115979
Open Access
- Published in:
- 3d International Scientific and Practical Conference «Science, education, society: tendencies and future development». Volume 2
- Author:
- Pachulia O. Z. 1
- Work direction:
- Экономика (экономическая теория, финансы, бухгалтерский учет, статистика и др.)
- Rating:
- Article accesses:
- 2443
- Published in:
- eLibrary.ru
1 Sukhumsk State University
- APA
For citation:
Pachulia O. Z. (2016). Theoretical Framework of Vertical Integration in Strategic Management. Science, education, society: tendencies and future development, 2, 204-208. Cheboksary: SCC "Interactive plus", LLC. https://doi.org/10.21661/r-115979
- Full text
- Metrics
UDC 33
DOI: 10.21661/r-115979
Abstract
Integration strategy to create sustainable competitive advantage depends on the rarity and on the cost of imitability of a particular strategy chosen by a firm. Backward and forward vertical integration may be pursued by industry firms competing to achieve competitive advantage property and to increase the chance to guarantee rare, difficult to imitate and costly resources. This work investigates how these particular strategies create economies of scale and scope and discusses it theoretically. This paper has the objective to investigate if the vertical integration strategy makes value for business and what are the causes and consequences of market outcomes of vertical integration.
Keywords
References
- 1. Caldeira A. Vertical Integration and Corporate Diversification Strategies – Study Based on Brazilian Industries / A. Caldeira, G.L. Moyses, P.D. Costantin, S. Lex, S.L. Bertoncello // The Business Association of Latin American Studies: Conference at Instituto de Emresa (Madrid, May 25–28). – 2005.
- 2. Cavalcanti M. Gestao estrategica de negocios: evolucao, cenarios, diagnostico e acao / M. Cavalcanti [et al.] // Sao Pau Paolo SP-Thomson Learning. – 2003.
- 3. Christopher A. Bartlett, Sumantra Ghoshal. Beyond Strategy to Purpose // Harvard Business Review, from the november-december 1994 ISSUE. – 1994.
- 4. Fiona Roder. Strategic Benefits and Risks of Vertical Integration in International Media Conglomerates and Their Effect on Firm Performance // Dissertation no. 3402, Difo-Druck Bamberg, the University of St. Gallen. – 2007.
- 5. Teece D.J. Explicating Dynamic Capabilities: Innovation Processes, Investment Decision-Making and Asset Cospecialization/Orchest ration in an (Economic) Theory of (Strategic) Management», Univerisity of California, Berkeley. – 2005.
Comments(0)