A business may be faced with the challenge of deciding whether to source some of...

Vendor: CIPS
Product: L4M4
Update on: Jul 30, 2025
Questions: 217

CIPS L4M4 Question Answer

A business may be faced with the challenge of deciding whether to source some of its requirements from external suppliers or whether to make them internally. Which of the following factors is likely to justify the decision to make the requirements internally?

The other suppliers are using older technology

The availability of in-house competencies and capacity to carry out the production

External suppliers are likely to be overcharging

External sourcing involves cumbersome tendering procedures