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Home→The Westburn Dictionary of Marketing→H→horizontal integration

horizontal integration

Definition:
Involves bringing together industrial activities under unified control through expansion in one process. It may involve the amalgamation of firms making the same product, but can also be achieved by the diffusion of additional production facilities all making the same product or parts for a product. Many multinational companies integrate horizontally, producing the same product or product range in many different markets, building up sales on reputation or knowledge (technical or marketing). A good example of this is the major car manufacturers like Ford, which have production capacity in many parts of the world all orientated to the same basic models.

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© Westburn Publishers Ltd 2002, The Westburn Dictionary of Marketing edited by Michael J Baker, ISBN 978-0-946433-01-8. www.themarketingdictionary.com. Entry: [Joanna Kinsey and Michael J. Baker],.