Turning Over an Organizational Activity to an Outside Supplier That

question 45

Multiple Choice

Turning over an organizational activity to an outside supplier that will perform it on behalf of the local firm is also called:

• A) Captive sourcing
• B) Inshoring
• C) Offshoring
• D) Outsourcing

---

Definitions:

Supply Chain

The entire network of entities involved in producing and delivering a product or service from the raw material to the end user.

Buyer

An individual or entity that makes a purchase of goods or services.

Supplier

An individual or company that provides goods or services to another company, often a crucial part of a supply chain.

Supplier Network

A system of organizations, people, activities, information, and resources involved in supplying a product or service to a consumer.