PRO OUTSOURCING
Do you agree with the following? "[Outsourcing] fosters rational allocation of capital and growing global trade. That is certainly preferable to vertical integration driven by fear of supply shortages," the Wall Street Journal says (subscription required http://tinyurl.com/ylcwgxf). "This not only feeds on itself, as more supplies get 'locked up,' but leads to inefficiencies as the competitive dynamic is removed from the supplier-customer relationship." (http://tinyurl.com/ygodjrt)
PRO VERTICAL INTEGRATION
Or do you believe that companies who choose to outsource distribution and logistics are giving up more than they think, including control? Does relying on third party performance put companies at a strategic disadvantage to their competitors?
See recent post Vertical Integration: Oracle, Pepsi, Apple, GM and others are going back to the future: http://logipi.com/public/item/246897
Outsourcing Isn't Just for Christmas
Outsourcing Isn't Just for Christmas
