make

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make

or

buy

the decision by a firm on whether to make a component or product itself or to buy it from an external supplier (see OUTSOURCING). The decision will depend upon the combined production costs and TRANSACTION COSTS of the alternatives. Sometimes a firm may adopt mixes of the two policies, producing some quantity of the product itself and buying the remainder, depending upon the relative costs of the sources and security of supply considerations. See TRANSACTION for a more detailed discussion. See INTERNALIZATION, VERTICAL INTEGRATION.
References in periodicals archive ?
Many more exited the stands when the first two Cleveland batters made outs to begin the ninth inning.
This time, the top of the Dodgers order made outs through the air with a flyout by Furcal to center and popout by Pierre to shortstop.
In a quirky first inning, Oxford scored five runs after the first two batters made outs.