Apentix/AP US History/Unit 6: Period 6 (1865-1898)/Question
AP US Historymediummcq1 pt

Which of the following best distinguishes vertical integration from horizontal integration?

A.Vertical integration means merging with competitors, while horizontal integration means buying suppliers.
B.Vertical integration controls successive stages of production and distribution, while horizontal integration consolidates competitors in the same industry.
C.The two terms describe the same process of merging railroad lines.
D.Horizontal integration was outlawed in 1880, while vertical integration was encouraged.

Explanation

Core Concept

Carnegie's purchase of mines, transport, and mills is vertical integration; Rockefeller's absorption of rival refineries is horizontal. Both aimed to cut costs and reduce competition, but by different routes.

Correct Answer

BVertical integration controls successive stages of production and distribution, while horizontal integration consolidates competitors in the same industry.

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