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The motivation for this vertical integration was varied but included cost and quality control, worker loyalty and protection of proprietary processes. As well as control of production, resources and employees, businesses like Ford also controlled the retail sales and service network.
Ford Motor Company developed its structure over many decades of steady growth but, even prior to the advent of eBusiness, this kind of structure was being broken down, as a monolithic type of organisation like this is less able to respond to changing market requirements. Furthermore, external specialized organisations may be able to offer ancillary services such as transport and power more cheaply than a business like Ford Motor Company could do it for itself...
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