<p>The purpose of this thesis is to find out when Research and Development (R&D) becomes a suitable attribute for a production company to outsource. In an environment where innovations are following up quickly up and uncertainty about the type of innovation and customer is a fact, external sourcing can bring a competitive advantage. The empirical evidence shows that when R&D is outsourced the total cost does not increase at a due cause of outsourcing in this given study.</p><p>Although a lot of theory explains outsourcing as a cost increasing factor, the internal experience and frequent relation between the technical production company Beta and its R&D vendor company Alfa can decrease costs considerably due to lower communication and governance costs. This was not explicitly expressed in related theory and is therefore a contribution to the academia as well as for managers who seek to find an answer to the question of when to outsource and when not to outsource.</p>
| Identifer | oai:union.ndltd.org:UPSALLA/oai:DiVA.org:hh-5299 |
| Date | January 2010 |
| Creators | Dunert, Sofie, Westerling, Patrik |
| Publisher | Halmstad University, School of Business and Engineering (SET), Halmstad University, School of Business and Engineering (SET) |
| Source Sets | DiVA Archive at Upsalla University |
| Language | English |
| Detected Language | English |
| Type | Student thesis, text |
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