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Why is horizontal integration important?

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Answer: Horizontal integration is important because it grows the company in size, increases product differentiation, achieves economies of scale, reduces competition and can access new markets. When many firms pursue this strategy in the same industry, it leads to industry consolidation which makes the companies stronger and more solid and even monopoly- which isn't the best for consumers but is really good for the sellers.

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User Arbaz Alam
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