1) Lateral thinking involves an indirect and creative approach to problem solving using reasoning that is not immediately obvious or obtainable through traditional logic alone.
2) Vertical thinking is a selective and sequential approach that moves in a linear fashion, with each step being precise, necessary, and logically correct.
3) While vertical thinking is useful for analysis and evaluation, lateral thinking is better for generating new ideas and solutions to intractable problems by considering unorthodox approaches and elements outside typical consideration.