How Much to Make and How Much to Buy? Explaining Plural Sourcing Strategies

DSpace/Manakin Repository

How Much to Make and How Much to Buy? Explaining Plural Sourcing Strategies

Citable link to this page

 

 
Title: How Much to Make and How Much to Buy? Explaining Plural Sourcing Strategies
Author: Puranam, Phanish; Gulati, Ranjay; Bhattacharya, Sourav

Note: Order does not necessarily reflect citation order of authors.

Citation: Puranam, Phanish, Ranjay Gulati, and Sourav Bhattacharya. "How Much to Make and How Much to Buy? Explaining Plural Sourcing Strategies." Strategic Management Journal (forthcoming).
Full Text & Related Files:
Abstract: While many theories of the firm seek to explain when firms make rather than buy, in practice, firms often make and buy the same input—they engage in plural sourcing. We argue that explaining the mix of external procurement and internal sourcing for the same input requires a consideration of complementarities across and constraints within modes of procurement. We create analytical foundations for making empirical predictions about when plural sourcing is likely to be optimal and why the optimal mix of internal and external sourcing may vary across situations. Our framework also proves useful for assessing the possible estimation biases in transaction level make-or-buy studies arising from ignoring complementarities and constraints.
Published Version: http://onlinelibrary.wiley.com/doi/10.1002/smj.2063/abstract
Terms of Use: This article is made available under the terms and conditions applicable to Open Access Policy Articles, as set forth at http://nrs.harvard.edu/urn-3:HUL.InstRepos:dash.current.terms-of-use#OAP
Citable link to this page: http://nrs.harvard.edu/urn-3:HUL.InstRepos:10996796
Downloads of this work:

Show full Dublin Core record

This item appears in the following Collection(s)

 
 

Search DASH


Advanced Search
 
 

Submitters