Reconceptualizing plural sourcing

Abstract

Firms often procure the same input via multiple means, e.g., making and buying. Recent papers have yielded rich, but inconsistent, theoretical and empirical insights. Resolving these inconsistencies requires reconceptualizing two aspects of plural sourcing: what and how. We reconceptualize plural sourcing as a set of combined governance modes—make-and-buy, make-and-ally, and buy-and-ally—which differ in their capabilities and limitations. We demonstrate our reconceptualization's potential with propositions predicting the choice of specific plural sourcing modes. Copyright © 2013 John Wiley & Sons, Ltd.