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Forward Integration

   Also found in: Hutchinson 0.01 sec.
Forward Integration
A business model whereby a company takes direct control of how its products are distributed. For example, a company may market its products directly to consumers rather than selling them to a retailer. Alternatively, forward integration may involve the company simply acquiring the retailer. See also: Backward integration.


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Ashland saw the success of forward integration with coldbox, driving the casting design, as opposed to back ward integration, driving casting production.
In explaining Dow's forward integration into molding, Rogowski says it puts the company in close contact with Ford and such associated suppliers as Visteon and Faurecia.
This classic case of forward integration will force consolidation in that level of the chain.
 
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