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Vertical integration builds up a resiliency against supply chain issues. You have a guarenteed supply of materials and components for a reasonable price no matt
by AngryData 4y ago
Vertical integration builds up a resiliency against supply chain issues. You have a guarenteed supply of materials and components for a reasonable price no matter how crazy world markets get.
- namlem 4y agoIt's often too expensive to be worth it though. Just look at Intel.
- justapassenger 4y agoIt’s often not even about cost. Vertical integration works great if you can always make right R&D decisions. If you bet on wrong horses (even if you have money) you’re hopelessly stuck as you cannot “easily” shift to different suppliers that made better R&D choices. Just look at Intel.