Which of the Following Is True About Outsourcing

question 63

Multiple Choice

Which of the following is true about outsourcing?

• A)It increases budgetary instability due to the level of risk involved.
• B)It saves both direct and indirect management time.
• C)It creates diseconomies of scale.
• D)It guarantees a higher level of quality than that provided in-house.

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Definitions:

UCC

An acronym for the Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States.

CISG

The United Nations Convention on Contracts for the International Sale of Goods, a treaty establishing a uniform international sales law.

Reasonable Grounds

A basis of sufficient facts and information indicating that a belief or action is more likely true or correct than not, often used in legal contexts.

Shipment Contract

A contract in which the seller is obligated to send the goods to the buyer but is not responsible for loss or damage to the goods once they have been shipped.