Which of the Following Is True of Outsourcing

question 34

Multiple Choice

Which of the following is true of outsourcing?

• A) It involves significantly less transaction costs.
• B) It is a way to meet market demand with a long-term capital commitment.
• C) It is a great way for a company to develop in-house manufacturing capabilities.
• D) It carries a risk of proprietary technology being expropriated by the contract manufacturer.

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Definitions:

Defenses

Legal arguments and tactics used by a defendant to challenge the validity of the plaintiff’s allegations.

Binding Authority

Legal principles and precedents from higher courts that lower courts within the same jurisdiction must follow.

Persuasive Authority

Legal sources that a court can consult for guidance but are not binding, such as decisions from other jurisdictions or legal texts.

Binding Decision

A court decision that must be followed by lower courts in the same jurisdiction in cases involving similar facts or legal issues.