Vertical integration is the process of insourcing all of these activities eventually proved

to be too difficult and costly to manage.

Make or buy decision are often controversial. Because of the importance of make or
buy to organization competitiveness, a no. of variable and factors must be considered
from a firm competency improvement.
Cross functional teams are increasingly being used to make or buy decision. The buy
of major functions such as distribution, technology development, assembly and
purchasing is being undertaken by companies.

The make-or-buy decision for any product, process or service is made relatively
infrequently. The long term effect of these decision as well as shorter-term tactical effect
of buy