To what extent is Walmart vertically integrated ?

Expert Solution

Vertical integration strategy is used for maximization of economies of scale of a firm.It could either be forward integration or backward integration.It is often identified by a firm engaged in different aspects of production from raw materials to distribution chains and having complete control over them. It is known for giving businesses an edge over others.

Walmart , the kind of markets it operates into, it is always beneficial to vertically integrate their business and they are also doing such as it has established its own name brand to sell products called Sam's choice today which operates into cereals and dog food.They also own VUDU which caters to over millions on consumer and it is a steaming service. Recently they also purchased Flipkart which provides them with an edge into distribution and it's operating in india.so Walmart practices a lot of vertical integration strategies for economies of scale and it's is trying to get better at this each day.

jeff jeffy answered 1 year ago

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