With examples, distinguish between forward and backward integration in business

Backward integration

When a business joins, merges, establishes, takes over or  acquires a business in the same industry but at an earlier stage of production such as tertiary sector buying a secondary sector (a supermarket buys a food processing industry or a manufacturer buying a distributor)  or secondary sector buying a primary sector (e.g. a furniture industry buying a forest or a retailer buys a wholesaler)

Backward integration guarantees source of raw material or inputs or deny competitors sources of inputs, increased profit because the inputs are cheaper

Forward integration

When a business joins, merges, establishes, takes over or  acquires a business in the same industry but at later stage of production such as secondary sector buying a tertiary sector (a food processing industry buying a supermarket  or a distributor buying a manufacture)  or primary sector buying a secondary sector (e.g. a  wholesaler buys a retailer)

Forward integration guarantees outlets/market