Horizontal Integration

(Growing Sideways) Buying out other companies that sell the same item as yours

-The shark (bigger companies) "eat" smaller companies (the fish) to make more money and to get rid of others producing the same product, making it more likely customers buy from you.

-Ex. John D Rockefeller started out owning a small refinery and bought his competition to grow his business and limit the market. As time went on he continued horizontal integration and at one point refined about 90 percent of U.S oil, making about $900 million dollars.

-Ex. At&T increased their profit by buying T-Mobile thus limiting competition for the same product.

-Enough horizontal integration creates a monopoly, which is when one company takes over an entire market.

Jordan Tillinghast, Colin Higgins , Zach Stockwell

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