In Which of the Following Cases Is Outsourcing Likely to Be

question 91

Multiple Choice

In which of the following cases is outsourcing likely to be the best solution to the firm's data processing needs?

• A)Peterson International is a trenchcoat wholesaler to retailers around the world.Sixty percent of sales orders are taken during the months of August and September.Peterson needs a system to manage online ordering and fulfillment.
• B)Battlegoat Investment Strategies manages investors' portfolios and provides services to wealthy customers.The firm needs a system that will pull together selected investment data from a variety of sources and that allows account managers to prepare customized reports.
• C)Yachtman Limited is in the business of buying businesses,managing them for a few years,then selling them for a profit.The firm requires a flexible system that will allow it to manage the types of businesses it controls.
• D)Desalinas LLC,manages the construction of desalinization plants.It needs a system that will allow it to manage the construction process from bid to billing.

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Definitions:

Market Equilibrium

A condition in a market where the quantity supplied is equal to the quantity demanded at a certain price level.

Markup

The amount that retailers add on to the wholesale price of an item.

Selling Price

The amount of money a buyer pays to purchase a product or service.

Wholesale

Refers to the sale of goods in large quantities, typically to be retailed by others.