Which of the following would be a good reason to outsource (buy) versus making?
A) To utilize existing capacity within a company's own firm
B) A firm lacks the technology or expertise to produce an item
C) To have more direct control over the design and production of an end item
D) No competent supplier presently produces the needed item

Question

Quizplus · Accepted Answer

Outsourcing can be a good decision when a firm lacks the technology or expertise required to produce an item. In such cases, it may be more cost-effective to buy the item from a supplier that specializes in producing it, rather than investing in expensive new technology or training employees with specialized skills.

Which of the Following Would Be a Good Reason to Outsource