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Alehandrax Alehandrax
wrote...
Posts: 350
5 years ago
What is the make-or-buy decision? What factors influence the make-or-buy decisions? Why do most PC manufacturers choose to buy instead of make?
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Replies
wrote...
5 years ago
 The make-or-buy decision refers to the firm's choice to make its necessary inputs itself or buy them from outside suppliers. The make-or-buy decision can be influenced by a firm's size, scope of operations, technological expertise, and nature of product. A firm that buys rather than makes retains the flexibility to change suppliers as circumstances dictate. This can especially important when technology is changing quickly as in the PC market. Most personal computer manufacturers, for example, have chosen to buy disk drives, USB ports, and microprocessors from outside suppliers. By so doing, they avoid the risk of product obsolescence and the large research and development expenditures needed to stay on the cutting edge of each of the technologies embedded in the component parts of personal computers or when inflation and exchange rates are fluctuating.
Alehandrax Author
wrote...
5 years ago
Tremendous help, I just double-checked it with my friend Smiling Face with Open Mouth
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