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Question
why was carnegie steel an example of vertical integration? the company controlled all of the steel plants in the united states. the company was able to produce more steel than other companies. the company controlled every step of steel production and distribution. the company became the only source of steel after competitors failed.
Vertical integration is when a company controls different stages of a product's production and distribution. Let's analyze each option:
- "The company controlled all of the steel plants in the United States" – Controlling all plants is more about horizontal integration (same stage, different companies) or a monopoly, not vertical.
- "The company was able to produce more steel than other companies" – Production volume doesn't define vertical integration.
- "The company controlled every step of steel production and distribution" – This matches vertical integration, as it involves controlling multiple stages (like raw materials, manufacturing, distribution) of the steel process.
- "The company became the only source of steel after competitors failed" – This is a monopoly, not vertical integration.
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The company controlled every step of steel production and distribution.