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The Impact of Vertical Integration on Performance

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Abstract
  • The impact of vertical integration (VI) on performance is an often-addressed topic in both management and economic studies. The contradicting conclusions based on different theoretical perspectives regarding this impact cause need for empirical studies. Empirical work, however, has lagged behind. In fact, few studies have in a convincing way demonstrated how VI affects performance. The barriers in conducting empirical studies of VI are multiple. The main purpose of this paper is to demonstrate ways of overcoming the difficulties facing empirical studies of VI. The empirical setting chosen for the study is the Norwegian fish processing industry. We examine to what extent VI is implemented in this industry, mainly upstream, towards the fishing fleet. The economic effect of VI is addressed.
  • KEYWORDS: Markets and trade, Market Structure, Conduct and Performance, Fisheries economics
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  • Isaken, J.R. and B. Breyer. The Impact of Vertical Integration on Performance. In: Microbehavior and Macroresults:Proceedings of the Tenth Biennial Conference of the International Institute ofFisheries Economics and Trade, July 10-14, 2000, Corvallis, Oregon, USA.Compiled by Richard S. Johnston and Ann L. Shriver. InternationalInstitute of Fisheries Economics and Trade (IIFET), Corvallis, 2001.
Proceedings Editors
  • Shriver, Ann L.
  • Johnston, Richard S.
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  • International Institute of Fisheries Economics and Trade U.S. National Marine Fisheries Service MG Kailis Group
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