What Is the Goal of Outsourcing

question 18

Multiple Choice

What is the goal of outsourcing?

• A) To shift the firm's cost model to one that is comprised of more variable costs and less fixed costs
• B) To increase gross margins
• C) To reduce overall up-front fixed costs
• D) To decrease labor costs
• E) All of the above

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Definitions:

Permanent Change

A long-lasting alteration in the state or condition of something, that is not expected to revert to its original state.

Behavior

Actions and mannerisms made by individuals, within systems or environments, which can be observed and studied.

Experience

The knowledge or skill acquired through involvement in or exposure to events, often leading to learning or behavioral change.

Associative Learning

A learning process by which an association is formed between two stimuli or a behavior and a stimulus.