A Major Reason Outsourcing Is Effective Is That

question 11

Multiple Choice

A major reason outsourcing is effective is that:

• A) it increases the innovative potential of the firm.
• B) few firms possess superior capability in all primary and support activities.
• C) it permits unlimited access to capital resources.
• D) competitors do not have access to the same external sources.

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Definitions:

Ethical Firms

Companies that operate in ways that are morally right, adhering to principles of fairness, honesty, and respect for individuals and the environment.

U.S. Large-Cap Index

An index that tracks the performance of stocks with large market capitalizations in the United States.

Creating Value

The process through which companies develop products, services, or processes that are valuable to customers, thus enhancing the company's profitability and market position.

Benefits

Advantages or positive outcomes that are provided by a product, service, or job, including tangible and intangible elements.