Sparing a company the uncertainty of being dependent on suppliers for crucial components or support services
Reduced business risk because of controlling a bigger portion of the overall industry value chain
Adding to a company’s differentiation capabilities in those circumstances when, by performing certain activities internally that were formerly outsourced to suppliers, the company ends up with a better-quality or better-performing product, improved customer service capabilities, or in other ways is able to deliver added value to customers.
Reduced exposure to supplier price increases
Opportunities to improve a company’s cost position and competitiveness by performing a broader range of value chain activities internally rather than having some of these activities performed by outside suppliers
