A US Company Faced with Spiraling Costs in Their Customer Care

question 6

Multiple Choice

A U.S. company faced with spiraling costs in their customer care center recreated that service in Luxembourg at a fraction of the cost. This is an example of:

• A) offshoring.
• B) forward integration.
• C) backward integration.
• D) postponement.

---

Definitions:

Prepurchase Cognition

The thought processes and considerations consumers engage in before making a buying decision, including evaluation of alternatives and product information.

Problem Recognition

The initial step in the consumer decision-making process where the consumer identifies a need or problem requiring a solution.

Alternative Evaluation

The process consumers go through to assess the benefits and drawbacks of different options before making a purchase decision.

Information Search

The process consumers engage in by looking for data about products or services to make an informed purchasing decision.