Cadenas, Nikki L.

Market Integration occurs when prices among different locations/ related goods follow similar
patterns over a long period of time. (Source)

Horizontal Integration is acquiring a business of the same stage in the supply chain, thus, expanding it.
Horizontal integration omits a wider variety of products because it is expanding globally, offering more
of its products across the world. It is said that when horizontal integration becomes more stronger, a
monopolistic market is expected to occur. An example of a horizontal market integration is when
Jollibee bought Mang Inasal (same business level which is fast food chain).

Vertical integration in markets is when the business acquires another entity processing in a different
level of business. It includes forward and backward integration. Forward integration is acquiring from
above the supply chain, meanwhile in backward integration, it is buying a company which supplies raw
materials to your company. Forward integration may include buying your business importers and
distributors. An example of a forward market integration is Netflix, now having original series and
movies of their own. An example of backward market integration is Ikea, buying a forest in Georgia for
its raw supplies.

Conglomerate market integration is the extending of a business into a different variety of industries. This
market integration allows less risks because if one sector of the business flops down, it can still operate
profit through the other sectors. An example of a conglomerate corporation is Nestlé, a multinational
food and drink processing company. Another example is the Team Wang, a record label by Jackson
Wang, now has a fashion line.

References:
Types of market integration. http://ecoursesonline.iasri.res.in/mod/page/view.php?id=16988

FST Study. Horizontal Integration VS Vertical Integration || Strategic Management Series. 10 Nov 2019.
https://www.youtube.com/watch?v=ZI63Xbc2x-

Tutor2u. Horizontal and Vertical Integration (Business Growth Strategy). 14 Jan 2017. https://www.youtube.com/watch?
v=uOO4ClVUrkw

Mang Inasal Now Fully Owned by Jollibee. MANG INASAL PHILIPPINES INC. Retrieved 2021- 09- 28.
https://www.manginasal.com/newspost/mang-inasal-now-fully-owned-by-jollibee/