Vertical and horizontal integration have their strengths and weaknesses but both are ways that firms strategize to consolidate their position among competitors. Vertical acquisition refers to the process of acquiring business operations within the same production; as in taking over complete control over one or more stages in the production or distribution of a product (Tarvar, 2021). A company may want to do this in order to learn more about its internal setup, strengthen its supply chain, reduce its production costs and/or gain access to new distribution channels. A recent example of vertical integration is when Apple acquired AuthenTec, which makes the touch ID fingerprint sensor that goes on its iPhones in 2012 (Hayes, 2021). This allowed Apple to flexibly access its supply chain without worry of getting hindered by outside sources. A horizontal integration is when a business takes over another that operates at the same level in the industry. This can be considered valuable because it increases the companys size, which in-turn, may increase its power in the market. An example of horizontal acquisition is when Marriott merged with Starwood in 2016 (Thakur, 2021). This allowed the companies to expand and created competition amongst those in the industry. 

            Diversification should be considered in an organization if it is looking to expand through new product lines or services. It can be used to continue its growth and momentum and/or reduce becoming stagnant in the market. Its important to strategize and make sure that the company can take on this change as well as it can impact the organization negatively if not thought through. 

            Global strategy can open several doors for an organization. It can help with overseas manufacturing, developing foreign partners, and leveraging exchange rates to say the least. On the other hand, global strategy would not be a viable solution for an organization if there is too much financial risk to be expanding globally. In addition, if you cant be present there or have a team that you trust, it becomes harder to control the success or the company. Not being culturally aware of other countries can also be a disadvantage as different cultures value different things and may have a dissimilar mindset as to what is valuable to them. 

Hayes, A. (2021, February 20). Vertical Integration. Investopedia. https://www.investopedia.com/terms/v/verticalintegration.asp

Tarvar, E. (2021, January 18). Horizontal vs. Vertical Integration: Whats the Difference? Investopedia. 

Thakur, M. (2021, June 22). Horizontal Integration. WallStreetMojo. https://www.wallstreetmojo.com/horizontal-integration-examples/