How did horizontal integration change the way business was done in America?
(1 point)
Responses
Big corporations could control the cycle of a product from creation to sale.
Large companies grew larger by merging with other companies or acquiring them.
Big companies were not allowed to destroy their smaller competition anymore.
Business leaders could move into jobs of similar status where their skills were more of a fit.
Large companies grew larger by merging with other companies or acquiring them.
The correct response is:
Large companies grew larger by merging with other companies or acquiring them.
Horizontal integration refers to the expansion of a business by merging with or acquiring other companies operating at the same level of the production process or in the same industry. This allowed large corporations to grow even larger by consolidating their market share and resources. By merging or acquiring competitors, big companies gained more control over the entire cycle of a product, from creation to sale, enabling them to dominate the market. This shift in the business landscape resulted in increased concentration of economic power and decreased competition.