Which of the Following Is an Example of Outsourcing

question 359

Multiple Choice

Which of the following is an example of outsourcing?

• A) A U.S. firm moves a manufacturing plant from the U.S. to Thailand where the firm can hire cheaper labor.
• B) A German firm hires an accountant in the U.S. to manage its payrolls.
• C) All the above are examples of outsourcing.
• D) None of the above is an example of outsourcing.

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Definitions:

White Knight

A friendly investor or company that acquires a corporation at fair consideration, often to prevent it from being taken over by a hostile party.

Corporate Takeovers

The process by which a company acquires control over another company, either through a direct purchase of shares or through other strategies.

Tender Offer

A public offer made by a prospective acquirer to purchase a substantial portion of the shares of another company, directly from its shareholders.

Joint Venture

A business arrangement where two or more parties agree to pool their resources for the purpose of accomplishing a specific task or business activity.