Which strategy would most likely lead to horizontal integration?

The strategy that would most likely lead to horizontal integration is merging with a competitor. Horizontal integration involves a company acquiring or merging with another company that operates at the same level of the supply chain in the same industry. This approach allows organizations to consolidate their market position, reduce competition, and realize economies of scale.

When two companies at the same stage of production join forces, they can leverage shared resources, consolidate operations, and enhance their market reach or power. This strategy is particularly effective in industries where competition is fierce, and gaining market share can lead to increased profitability.

In contrast, forming alliances with suppliers, investing in new technologies, and increasing the product range are strategies that tend to focus on vertical integration, innovation, or diversification, rather than directly consolidating market position with competitors in the same industry segment. Therefore, merging with a competitor is the most direct route to achieving horizontal integration, reinforcing market power by increasing the size and capabilities of a company within its current market space.