At the Output Stage of the Open-Systems View, the Organization

question 69

True/False

At the output stage of the open-systems view, the organization releases finished goods and services to its external environment, where customers purchase and use them to satisfy their needs.

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Definitions:

Merchant

An individual or company engaged in the wholesale or retail sale of goods, services, or commodities for profit.

Carrier

In telecommunications, an entity that provides services for transmitting data and communications; in transportation, a company responsible for transporting goods or passengers.

FOB

Stands for Free On Board, a term used in international shipping indicating that the seller bears the cost of loading goods onto a shipping vessel, while the buyer pays for transportation and insurance.

Shipment Contract

A sales agreement where the seller is obligated to send the goods to a specific destination, and the risk of loss passes to the buyer when the goods are delivered to the carrier.