Monday, July 13, 2009

Vertical Integration in the Auto Industry

Andy Grove, former Chairman and CEO of Intel, has an op-ed in today's Wall Street Journal in which he suggests that the auto industry should follow the path taken by the computer industry two decades ago... by moving away from the old business model of vertical integration. Grove questions whether the government's actions to date are simply propping up an old business model rather than investing in a fundamentally new way of doing business.


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