Final answer:
The type of business growth where the owners of a clothing retailer expand into garment manufacturing is called vertical integration. This represents a form of backward vertical integration as the company is moving back along its supply chain.
Step-by-step explanation:
The business growth described in the scenario where the owners of a clothing retailer with experience in garment manufacturing decide to expand into that field is termed as vertical integration. Vertical integration happens when a company expands its operations into areas that are at different points on the same production path. In this case, a clothing retailer moving into garment manufacturing represents a form of backwards vertical integration, as the company moves back along the supply chain.
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