Industry segmentation is always horizontal-it is based upon the products an industry suppliers and the customers to which they are supplied.The notion of vertical segmentation-segmenting an industry along its value chain is attractive in principle but impossible in practice.

Question

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The statement is incorrect. Vertical segmentation is possible in practice and is commonly used to analyze industries. It involves segmenting an industry based on different stages of the value chain, such as suppliers, manufacturers, distributors, and retailers. This type of segmentation allows for a more detailed understanding of an industry and its potential opportunities and challenges.

Industry Segmentation Is Always Horizontal-It Is Based Upon the Products