Which of the following is true about outsourcing? a. Outsourcing strengthens the creative and innovative functions within the firm. b. Outsourcing allows firms to concentrate on those areas in which they can create value. c. Outsourcing is effective only when it includes all support activities. d. Outsourcing limits a firm's flexibility and requires minimal coordination.

Question

Business

Cantrell

9 January, 05:46

Which of the following is true about outsourcing? a. Outsourcing strengthens the creative and innovative functions within the firm. b. Outsourcing allows firms to concentrate on those areas in which they can create value. c. Outsourcing is effective only when it includes all support activities. d. Outsourcing limits a firm's flexibility and requires minimal coordination.

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Gage Shea · Answer 1

Outsourcing allows firms to concentrate on those areas in which they can create value.

Explanation:

Outsourcing is a practice where businesses contact third parties to perform some of its functions. Outsourcing has benefits, including cost-saving and increased efficiency.

Many companies opt to outsource non-essential activities to focus on their core business. By allowing staff to concrete on its fundamental operations and future strategy, a company gains a competitive advantage over its competitors.