Supply Chain Management MAKE VS BUYQuiz

Which of the following BEST describes "Make" in supply chain management?

• Outsourcing production to another company

• Producing goods or services in-house

• Buying materials from a supplier

• Selling products to customers

Which of the following BEST describes "Buy" in supply chain management?

• Hiring more employees

• Investing in new equipment

• Purchasing goods or services from an outside supplier

• Reducing inventory levels

Nike focuses on design and marketing but outsources production of shoes. This shows which principle?

• Keeping core activities in-house

• Buying core activities from suppliers

• Outsourcing non-core activities

• Ignoring quality standards

Coca-Cola keeps its syrup formula secret but outsources bottling. Why?

• Bottling is a core activity

• The syrup formula is non-core

• Bottling is non-core while syrup formula is core

• Coca-Cola doesn't want to expand

Which factor is MOST about controlling your secret information and technology?

• Flexibility

• Intellectual Property (IP) Protection

• Capital Investment

• Logistics

When a company wants to grow quickly without building new factories, it usually chooses to:

• Make in-house

• Buy (outsource)

• Stop production

• Lower prices

If a bakery spends ₱12 to make its own filling but can buy it for ₱9 from a supplier, which option is cheaper per unit?

• Make in-house

• Buy from supplier

• Both are the same

• Cannot be determined

Apple designs its own chips but assembles phones at Foxconn. This is an example of:

• Outsourcing core activities

• Keeping critical design in-house but outsourcing assembly

• Buying both design and assembly

• Selling intellectual property

Which factor is MOST concerned with how fast you can produce or deliver products?

• Speed to market

• IP protection

• Core competency

• Capital investment

Starbucks buys coffee beans but roasts them using its own recipes. This decision shows:

• Outsourcing non-core while keeping core in-house

• Outsourcing core activities

• Ignoring brand standards

• Investing in non-core assets