vertical integration

This term describes a corporate strategy focused on supply chain control. It is primarily used in business, economics, and strategic management contexts to describe a company's move to reduce dependency on external vendors or distributors. The term carries a connotation of power, efficiency, and market dominance.

There are two primary directions of this strategy: backward integration, where a company moves up the supply chain toward raw materials, and forward integration, where it moves toward the end consumer. This is often contrasted with horizontal integration, which involves acquiring competitors at the same level of production.