What non-financial factors should be considered when making a decision about buying rather than making a component of a company's product?
A)Is the quality of the purchased component acceptable?
B)Will the outside supplier increase prices significantly in the future?
C)Will the supplier deliver on time?
D)All of the above.

Question

Quizplus · Accepted Answer

All of the factors listed (quality of purchased component, potential future price increases from supplier, and delivery reliability) are important considerations when deciding whether to buy or make a component. Other factors may include the impact on internal resources and capacity, the competitiveness of the external supplier, and the strategic importance of the component to the company's overall product line.

What Non-Financial Factors Should Be Considered When Making a Decision