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> How can you have a market inside a company? Markets depend on having multiple suppliers and multiple customers. This is basically what Amazon did with AWS, t
by solatic 9y ago
> How can you have a market inside a company? Markets depend on having multiple suppliers and multiple customers.
This is basically what Amazon did with AWS, to phenomenal success. You can create a single-supplier market within the company for any product as long as you sell to the wider public too, and if the wider public buys from your single-supplier then you know your internal customer is getting a good product.
> We had a formal project process...
Been there at companies with similar models, done that, the entire model is fundamentally broken. You may pay the lowest amount of cash on paper but the process takes so long that the additional amount of money you spend on management and architects over the project planning process usually outweighs any supposed competitive savings. You also pay in agility / opportunity costs.