Which of the following allows firms to focus on core activities and reduce cost by moving aspects of the business to areas where costs are low?
A) Outsourcing
B) Adapting
C) Offshoring
D) Exporting
E) Importing

Question

Quizplus · Accepted Answer

A)Outsourcing, the practice of paying suppliers and distributors to perform certain business processes or to provide needed materials or services, has become a popular option for going international. It has become so popular because (1)it helps firms focus on their core activities and avoid getting sidetracked on secondary activities and (2)it reduces costs by locating certain business functions in areas where relevant costs are low.

Which of the Following Allows Firms to Focus on Core