What does the term "integration" refer to in business contexts?

The term "integration" in business contexts primarily refers to joining together two businesses through a merger or takeover. This process can involve combining their operations, resources, and market reach to create a unified entity that can benefit from synergies such as enhanced market share, reduced competition, or improved efficiency.

When two companies integrate, they may align their cultures, strategies, and management systems, which can improve competitiveness and achieve economies of scale. This type of integration often requires careful planning and execution to maximize the advantages while minimizing disruption to employees, customers, and other stakeholders.

The other options do not accurately capture the essence of "integration" as it is understood in business. While combining businesses for cost efficiency and reducing overhead costs may be outcomes of an integration scenario, they are not the definition of integration itself. Entering a new market is a strategic move that can occur independently of integration, as businesses can do this through organic growth or alternative strategies without merging or taking over another company.