Question

How did horizontal integration limit competition?

Fewer independently owned companies existed to compete.

Companies agreed not to compete, so they all made more money.

More small companies tried to supply raw materials to large companies.

Suppliers could not produce enough to serve horizontally integrated companies.

Answer 1

Horizontal integration is the process of merging similar industries, industries that produce similar products. Horizontal integration would include tactics like buying competing companies that produce the same goods as you do. Horizontal integration buys the competing companies. Hope this helped!

Answer 2

Horizontal Integration is the business practice of acquiring or merging industry competitors into one large company. Typically, companies buy rival companies with the hope that the purchasing company will be able to reduce costs, increase market share, and overall profitability. Ultimately, the hope is that the purchasing company will increase in value. However, this practice reduces the number of companies competing for market share relative to a certain product or service. It is easy to see that mergers and acquisitions eliminate competitors, thus reducing competition for market share. With fewer independent companies, competition will be limited to a few or maybe even one large company. The practice or idea of acquiring or merging companies in direct competition with each other may limit competition and result in circumstances that do not benefit the consumer.

Answer 3

Ok thank you both that really did help I got the answer that I needed.. I was just a little confused and now I get it.. Thanks again.

Answer 4

Anytime :)

Answer 5

well it's not D

Answer 6

can you plz just post the answer and not some random paragraph about it.

Answer 7

@Shallow00 It's A if you still don't know :p