evaluation of whether components and assemblies will be purchased from outside suppliers or built by the firm itself is referred to as a
A) modified rebuy.
B) make-buy decision.
C) new buy.
D) cost analysis.
E) buy class decision.

Question

Quizplus · Accepted Answer

The make-buy decision involves evaluating whether a company should produce components and assemblies in-house or purchase them from outside suppliers. This decision is important because it can impact cost, quality, lead-time, and other factors. Therefore, it is critical for companies to analyze the costs and benefits of each option before making a decision. Ultimately, the choice will depend on the specific situation and strategic goals of the company.

Evaluation of Whether Components and Assemblies Will Be Purchased from Outside