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Horizontal and Vertical Relations

Question 40

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Horizontal and Vertical Relations. International Business Machines (IBM) develops, manufactures and sells advanced information processing products, including computers and microelectronic technology, software, networking systems and information technology-related services. The company offers value through its worldwide sales and service units in North America, Europe/Middle East/Africa, Asia Pacific and Latin America by providing comprehensive and competitive product choices. Microsoft Corp. develops, manufactures, licenses, sells, and supports a wide range of software products, including operating systems for personal computers and servers; server applications for client/server environments, business and consumer productivity applications; interactive media programs; and Internet platform and development tools. Microsoft also offers online services, sells personal computer books and input devices, and researches and develops advanced technology software products.
A. Describe how IBM and Microsoft share important elements of a vertical relationship.
B. Describe how IBM and Microsoft have important elements of a horizontal relationship.

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