What is the makeversusbuy decision Briefly explain how this

What is the make-versus-buy decision? Briefly explain how this decision is made.

Solution

Make or buy decision refers to deciding what to make internally and what to buy from outside to maximize the profits.

Usually, it is expected not to make something internally if that thing can be outsourced or bought from outside at a much lower price.

Taking the decision of make or buy needs the following steps: