All of the Following Are Examples of Why Organizations Source

question 62

Multiple Choice

All of the following are examples of why organizations source worldwide except ____.

• A) cost/price benefits
• B) access to product and process technology
• C) quality
• D) introduce competition to domestic suppliers
• E) ability to influence consumers

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Definitions:

Variable Selling Cost

Variable selling costs fluctuate with sales volume; they include expenses such as commission and shipping that increase with higher sales.

Constrained Resource

A limited resource within a system that significantly affects the throughput or output of the system.

Special Order

A special order refers to a one-time purchase order often at a discounted price, usually for large quantities that is outside the normal scope of operations.

Direct Labor Hours

Total working hours logged by employees who are intimately involved with the production operations.