Horizontal Growth can be achieved by expanding the firm’s products into other geographic locations and/or by increasing the range of products and services offered to current market. In this case, the company expands sideways at the same location on the industry’s value chain.
Eg: Ranbaxy Labs followed a horizontal growth strategy when it extended its pharmaceuticals business to Europe and to USE company can grow horizontally through internal development or externally through acquisitions or strategic alliances with another firm in the same industry.
Horizontal growth results in horizontal integrations – the degree to which a firm operates in multiple geographic locations at the same point in an industry’s value chain. Horizontal integration for a firm may range from full to partial ownership to long term contract.
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