Firms are "taper integrated" when they are backward or forward integrated but rely on outsiders for a proportion of their suppliers or distribution. Taper integration represents a useful compromise between desires to control adjacent businesses and needs to retain strategic flexibility.

How are franchising and tapered integration similar how do these strategies differ?

How do these strategies differ? Franchising and tapered integration are similar in that franchising allows a firm to utilize downstream suppliers to sell, distribute and deliver their products, while tapered integration allows firms to likewise downstream apportion of their products through other firms.

Why does a firm adopt integration strategy?

 When the same manufacturing company starts making intermediate goods for itself or takes over its previous suppliers, it pursues backward integration strategy.  Firms implement backward integration strategy in order to secure stable input of resources and become more efficient.