The management of the Vertical Integration strategy--美国留学生Assignment代写范文

Assignment代写范文:“The management of the Vertical Integration strategy”，这篇论文主要描述的是在现代的企业管理营销策略中，垂直整合已经成为了企业最为重要的一部分，企业通过调整对于投入与产出的比列来优化企业资源的配置，并举例卡尔森公司通过垂直整合的策略，不断发展成为了现在在美国大型的企业。

Carlson Companies Inc. is always called Carlson, which is a corporation held by an American privately and is an international firm, being famous in the travel and hotel industries(Aust, 1997). The headquarter of it is in Minnetonka, whose services and brands have employed more than 170,000 human beings in more than 150 nations and territories. The sales of Carlson were totaled up to more than $36 billion in the year of 2012. This corporation has become one of the biggest family-held companies in America.

Vertical integration, as a useful managing strategy, various corporations have employed to obtain control over some certain industry’s value chain. This method has become one of the main considerations when a company decides to develop the corporate level tactic(Dobson, 1996). The essential issue in corporate strategy is the decision on taking part in an activity or lots of activities in the markets. For instance, the corporation has to determine if it only produces one product or will also be involved in the marketing and services(Comanor, 1967).

There are two important that should be considered before employing the vertical integration strategy.

First, costs in the business matters great for the success of a company. A firm should take the measures to vertically integrate if the costs of manufacturing the product by the company itself are lower than the costs of purchasing that goods in the market. For Carlson, the hotel is the place where the customers can have rest and enjoy the hotel services in various aspects(Williamson, 1971). Most of the products can be produced by a company, so the Carlson has employed this characteristic to employ the vertical integration to acquire many firms to do the vertical expansion(Aust, 1997). The company was called the Carlson Companies Inc. in the year of 1973, for it has the business in the hospitality, travel industries and corporate incentive. For example, in the year of 1962, Carlson bought its first hotel named Radisson Hotel, and then bought T.G.I. Friday's and Country Kitchen International. The reason why the vertical integration can benefit the development of the Carlson Company is that it can lower the cost in the travel industry, for the travellers need to find the proper hotel to live during the journey, which will call for the service of helping the customers to contact with hotels. Therefore, by purchasing many hotels, it will be more convenient for people to travel around the world.   

Second, the scope of the corporation can also affect the determination of the company to move into new industries as well. New industries will add the difficulty to manage and control the business. It is well known that the bigger the company, the higher the investment uncertainty. This can be concluded as another reason for employing the vertical integration. As an international company, with the development of the globalizing trend, it is sensible for the Carlson to make use of the advantages of vertical integration to meet the needs of various customers, especially the foreign travellers. The outstanding service has created various famous brands. The famous brands can promote the profits of the Carlson Companies Inc. in the near future.

By taking the two important aspects into consideration, it is right for the Carlson to employ the vertical integration to reduce the cost to a great degree and benefit the travellers to a large extent(Bain, 1956). 

Moreover, the consuming level of human beings also becomes higher and higher, which has promoted many people to travel around the world to broaden the horizons and to experience the distinct environment in different nations. Millions of customers and travellers of Carlson have enjoyed the experiences in their lives. This kind of vertical integration also has offered a large number of job and assist the employees to develop their own potential(Crew, 1971). The travelling resources have been collected by the Carlson to a great degree, which can meet the demands of diverse guests in the near future.

The managers of the Carlson are qualified with the ability to follow the global trend and take proper measures to become much stronger in the business. There are also some other reasons that can explain the reasons why Carlson can become so successful in the hotel and travel industry. In the first place, the Carlson has gradually expanded its scale and developed many well-performed employees. The vertical integration can be considered as the most useful strategy to realize the aim to promote the products. The procedure of employing the vertical integration is gradual, which can benefit the people who live around the subsidiaries of the Carlson. For instance, Carlson bought 50 various businesses in the early 1980s, and most of the businesses are not large, which can be managed much easier. Second, the hospitality and travel industry is always enjoyed by people who have no need to worry about the daily life(Williamson, 1971). The more comfortable the hotel is, the more guests will be attracted by the hotels. The travelling experience will consume the energy of the travellers and then the travellers will need a place to live in. It is reasonable to combine the hospitality industry with the travel industry, for the two aspects have intimate relationship with each other. Thirdly, the vertical integration has provided lots of working chances for people in the local place, which can make people more active to compete with the other similar companies in the industry. Third, the development of the products in the hospitality and travel business is also important for the success of the Carlson Companies. It is sensible to develop new products to meet the needs of the consumers, which can increase the sales amount and make more profits for the company(Crew, 1971).

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