Horizontal Integration

Definition: Horizontal Integration is the strategy of seeking ownership or increased control over a firm's competitors.
Like its counterpart, vertical integration, HI is a potential strategic move which a firm may consider, but HI means to acquire business activities at the same level of the value chain, while vertical integration focuses on acquiring business activities at other levels of the value chain.
HI typically involves acquiring activities which are dealing with similar or complementary products, substitutes or competitors.
Also called: lateral integration.

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