As a Type of Intra-Firm Sourcing, _____________________ Is When a Company

question 57

Multiple Choice

As a type of intra-firm sourcing, _____________________ is when a company procures major components in-house by producing them domestically.

• A) domestic in-house sourcing
• B) offshore subsidiary sourcing
• C) domestic purchasing arrangement
• D) offshore outsourcing (offshore sourcing)
• E) export management company

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Definitions:

Trade Deficit

The amount by which the value of a nation’s imports exceed the value of its exports.

International Payments

Transactions between countries involving the transfer of money and payments for goods and services across borders.

Merchandise Exports

Goods produced domestically and sold to buyers in another country.

Freely Floating Exchange Rates

A system where the value of currencies is determined by supply and demand in the foreign exchange market without direct intervention by central banks.