Dell manages a small number of suppliers and serves its customers directly. It has enjoyed great success by implementing "Virtual Integration", which as described by Michael Dell seems to be a way of capturing the advantages of vertical integration without actually vertically integrating. He described it as "stitching together a business with partners that are treated as if they're inside the company".

Now think about the following question: What can be the benefits and risks of implementing “Virtual Integration”? List at least 3 benefits and 3 challenges for full credit.