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What are the advantages and disadvantages of ancillarisation?

Updated: 10/5/2023

Wiki User

∙ 11y ago

Best Answer

Advantages
Minimizes set up cost

Low level of Inventory

Economical Sourcing

Better Quality Standards

Complementary Role

Development of Entrepreneurial Skills

Disadvantages

Ã– Dependence on parent company

Ã– Obsolescence

Ã– Multiplicity of suppliers by parent company

Ã– Securities like earnest money deposit

Ã– Delay in receiving payments

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∙ 11y ago

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