Which of the Following Is a Strategic Reason for 'Outsourcing

question 54

Multiple Choice

Which of the following is a strategic reason for 'outsourcing'? 

• A) To improve customer satisfaction. 
• B) To reduce costs. 
• C) To develop partnerships. 
• D) To improve performance.

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Definitions:

Financial Flexibility

The ability of an organization to maneuver its financial resources to respond to unforeseen opportunities or challenges.

Return on Investment

Return on Investment (ROI) measures the gain or loss generated from an investment relative to its cost, indicating the efficiency of the investment.

Cash Flows

The total amount of money being transferred in and out of a business, especially affecting its liquidity.

Future Cash Receipts

Expected cash inflows associated with the future operations of a business, such as revenue from sales or collections on accounts receivable.