Linkages , Tradinf And Marketing Patterns Flashcards Preview

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Flashcards in Linkages , Tradinf And Marketing Patterns Deck (6)
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1
Q

What are good about TNCs?

A

Ability to expand and gain more control of industry and markets.

2
Q

Name 2 types of integration.

A

Vertical

Horizontal

3
Q

What is vertical integration ?

A

Supply chain of a company owned entirely by that company from raw materials to finished product.
Gives cont over supplies / stocks / reduces prices.

4
Q

Example of vertical integration

A

BP.
Oil and gas industry.
It has exploded over 40 oil and gas filed worldwide.

5
Q

What is horizontal integration?

A

Company diversifies operations by expansion , merger or takeover to give broader capability.
Can be complementary / competitive to existing businesses.

6
Q

Example of horizontal integration.

A

Kraft food takeover of Cadbury in 2010.

More diverse base in grocery / confectionary market.