While a Network Structure Can Lower Costs and Increase a Company's

question 88

True/False

While a network structure can lower costs and increase a company's flexibility,it can also leave the company vulnerable to risks such as outside contractors going out of business or offering the same goods and services to a competitor.

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Definitions:

Laundry Services

Services provided by businesses to clean clothing and textiles for individuals or commercial customers.

Gross Domestic Product

A measure of the economic performance of a country, reflecting the market value of all final goods and services produced within a country's borders in a given period.

Corporate Bond

A debt security issued by a corporation to raise capital from investors, promising to pay back the principal amount with interest.

Stock

A type of financial security that represents a proportion of ownership in a corporation, giving the holder a claim to part of the company's profits and assets.