- Posted by: Erez Borowsky
- Category: Business Strategy, Digital Marketing, Marketing, Marketing analysis, Marketing Strategy, PPC, SEO, Traditional Marketing
Profitability and achieving competitive advantage is an important consequence of understanding supply chain threats and opportunities. Your supply chain can be the difference between making bad, good, or great profit margins. We have seen many companies become complacent with their management of the supply chain, which leads to supply chain erosion. It’s not necessarily complacency, sometimes it’s a matter of focus, the shiny ball syndrome.
EZB Consulting will review your firm’s Efficiency and Vertical Integration of Goods and/or services. We will provide extensive advice on how your supply chain be re-organized, optimized, and managed to improve your vertical relations management.
Vertical integration is closely related to outsourcing. Basically, every firm needs to maintain a focus at the entire set of activities that are required to produce its products or services. We will help your firm discover: Which of these activities does your firm need to own, and which can we obtain out in the market by contracting with other firms? We will create a strategy to make-or-buy decision.
We will assess the value of vertical integration. Vertical integration (VI) is the process by which the firm buys another firm or creates a new firm that acts as its buyer or supplier. We will assess if vertical integration is achieved will it accomplish gains in efficiency, market power, or both. We will discuss the costs associated with it that your firm must consider carefully along with potential gains. We will resolve the Timing and Duration issues. Different Reasons to vertically integrate include gaining better control of the brand, resolving pricing concerns, and dealing with opportunistic behavior.
We will work with your team so these strategic demands are addressed. We’re going to be creating a strategy on how your firm can position themselves better in the market against potentially threatening rivals, optimizing your supply chain, and create a Competitive Advantage.