Make or buy decisions help businesses determine if it is better to produce a product in-house, or outsource the production. When another business has a comparative advantage in production it is best to outsource production.

The cost of production is one of the many factors that determine whether to make or buy. If it costs more to produce than it would to outsource, it is a good idea to outsource.

make or buy decision is the determination whether to produce a component part internally or to buy it from an outside supplier. this decision involves both qualitative and quantitative factors

A firm must consider whether they will save money by having someone else produce their products. They must also consider the how much they will make producing another product instead of the product they will outsource.

vertical