Q1.1 Discuss below circumstances favouring buying (outsourcing) and  circumstances favouring making  circumstances favouring buying (outsourcing) 1.when inadequate facilities or better investment possibility exist 2.when the operational staff's knowledge and skills are inadequate 3. when it is cheaper to buy than to make

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Hi there can you please assist on the following question below 

You have been recently appointed as a Purchasing Manager at Unilever. The director has
mentioned that the organisation has recently been experiencing uncertainty in demand and there
is currently no available capacity. As such, he is unsure whether he should make or buy the new
range of cleaning detergents.

Q1.1 Discuss below circumstances favouring buying (outsourcing) and 
circumstances favouring making 

circumstances favouring buying (outsourcing)

1.when inadequate facilities or better investment possibility exist
2.when the operational staff's knowledge and skills are inadequate
3. when it is cheaper to buy than to make

circumstances favouring making ( insourcing)

1.When it cost the organisation less to produce the product or service
2.when no or only a few reliable suppliers exist
3. when there is capacity available for use.

 

 

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Hi there can you please assist on the following question below 

You have been recently appointed as a Purchasing Manager at Unilever. The director has
mentioned that the organisation has recently been experiencing uncertainty in demand and there
is currently no available capacity. As such, he is unsure whether he should make or buy the new
range of cleaning detergents.

Q1.1 Discuss below 
circumstances favouring making ( insourcing)

circumstances favouring making ( insourcing)

1.When it cost the organisation less to produce the product or service
2.when no or only a few reliable suppliers exist
3. when there is capacity available for use.

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