Many manufacturing firms are de-integrating and moving to independent supplier networks.

Question

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Many manufacturing firms are now breaking down their vertically integrated structures and moving towards independent supplier networks. This allows them to focus on their core competencies and outsource non-core activities to specialized suppliers who can provide better quality products at lower costs. De-integrating also enables these firms to respond more quickly to changes in market demand and fluctuations in production rates.

Many Manufacturing Firms Are De-Integrating and Moving to Independent Supplier