Build Buy Partner Framework

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What is the Build Buy Partner Framework?

build buy partner framework refers to a strategic approach that businesses utilize to decide whether to build a solution in-house, buy it from a vendor, or form a partnership with another entity to acquire the needed capabilities or market access.

Example: Consider a retail company looking to expand its market presence through an online platform. Applying the build buy partner framework, they might decide to build their e-commerce site from scratch to maintain full control and customization (build). Alternatively, they could purchase a ready-to-use platform from a third-party vendor to save on development time (buy), or they might form a strategic partnership with an existing online marketplace, leveraging the marketplace’s customer base in exchange for a share of the revenue (partner).

  • Assessing the company's core competencies and strategic goals guides the decision between building, buying, or partnering.
  • Cost, time to market, and competitive advantage are key considerations in the framework.
  • The chosen approach can significantly impact the company’s flexibility, control over the product or service, and capital investment requirements.

Understanding build buy partner framework helps businesses strategically assess their options for growth and expansion, aligning their decisions with their capabilities, resources, and market objectives, ultimately driving more informed and effective strategic planning and execution.