In the context of rapid technological advancement, global economic integration, intensifying market competition, and continuously evolving customer demands, The “vertical integration” management model, where enterprises invest in building, acquiring controlling stakes in, or merging with suppliers of raw materials, semi-finished products, or components, has gradually revealed its drawbacks, including excessive operational burdens, high management costs, underutilization of core competencies, and a lack of agility in business transformation. An increasing number of enterprises are shifting their focus toward the development of core competencies, outsourcing components that were previously produced in-house, and establishing “horizontal integration” relationships with partner firms.
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