According to CEO Leo, every firm does not vertically integrate because every stage at the industry…

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➤ Why might a firm choose not to vertically integrate?
A firm may avoid integration because it demands unfamiliar capabilities, large capital outlays, and complex management. Integration can reduce flexibility, slow innovation, and raise regulatory risks. When specialized suppliers provide better quality or lower cost, or when market uncertainty is high, outsourcing and alliances usually offer a safer, more efficient route.

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