A shoe manufacturer acquires the retail stores that sell its shoes. This is an example of ________.

Question

Quizplus · Accepted Answer

Forward vertical integration is when a company acquires or invests in a distribution or sales channel, such as retail stores, to gain more control over the distribution and sale of its products. In this case, the shoe manufacturer is taking control of the retail stores that sell its shoes, which is an example of forward vertical integration.

A Shoe Manufacturer Acquires the Retail Stores That Sell Its