A rice mill in south Louisiana purchases the trucking firm that transports packaged rice to distributors. This is an example of

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Forward integration occurs when a company decides to purchase or own the distribution and/or transportation channels that its products use to reach customers. In this case, the rice mill is acquiring the trucking firm that transports its packaged rice to distributors, which is an example of forward integration.

A Rice Mill in South Louisiana Purchases the Trucking Firm