Why do companies engage in outsourcing?
A)to create a competitive advantage that cannot be replicated by their competitors
B)to eliminate redundant managerial levels
C)to cut costs and to satisfy labor needs
D)to avoid government regulations
E)to create broader spans of management

Question

Quizplus · Accepted Answer

Outsourcing allows companies to cut costs by hiring external organizations to perform tasks more efficiently and sometimes at a lower cost than doing them in-house. It also helps companies satisfy labor needs by accessing a global talent pool, which might not be available locally.

Why Do Companies Engage in Outsourcing