Neat technique. I had used it in a project where there was no linker and the compiler produced an absolute addressed binary for a custom chip.

The flip side of this technique is to be careful about blowing up the size of the final executable since everything gets included. You may need a linker pass to remove unused sections from the final executable. One good example to manage this is found in the dinkumware C library where each function is in its own .c (and hence corresponding .o) file. This way only the functions actually used get linked into the final executable.