which business practice is described by the following scenario: a steel mill owner buys the mine that produces iron ore, the railroad that transports the iron ore, the factory that makes steelmaking furnaces, and the company that advertises the steel?

Respuesta :

Vertical Integration.

It is a methodology that permits an organization to smooth out its tasks by taking direct responsibility for phases of its creation cycle instead of depending on outside workers for hire or providers.

It works when an organization endeavors to expand its impression across the store network or assembling process. Rather than adhering to a solitary point along the cycle, an organization takes part in vertical reconciliation to turn out to be more confident on different parts of the interaction.

There are three types of vertical integration are:-

Backward Integration:- moves the possession control of its items to a point prior in the store network.

Forward Integration:- extends by dealing with the conveyance cycle and offer of its done items.

Balanced Integration:- plans to converge with organizations both before it and after it along the inventory network.

To learn more about Vertical Integration.

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