Investment-Based Sourcing Models

  • Bonnie Keith
  • Kate Vitasek
  • Karl Manrodt
  • Jeanne Kling


In chapters 4 to 6, we discussed five different Sourcing Business Models, all relying on suppliers to ensure availability of particular products or services. This chapter is devoted to investment-based models that organizations can use when they want to “make” versus “buy.” According to Oliver Williamson, organizations that select a make or insource strategy select a structure that, by default, creates a hierarchy. We think of insource decisions in terms of investment-based models because organizations consciously open their wallets to invest in the capabilities needed for securing supply sources for goods and services.


Joint Venture United Arab Emirate Core Competency Business Group Business Unit 
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Copyright information

© Bonnie Keith, Kate Vitasek, Karl Manrodt, and Jeanne Kling 2016

Authors and Affiliations

  • Bonnie Keith
  • Kate Vitasek
  • Karl Manrodt
  • Jeanne Kling

There are no affiliations available

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