A domestic company may decide to sign an agreement for the production of its goods by an established foreign manufacturer. Such private-label manufacturing by a foreign company is known as which of the following?

Question

Quizplus · Accepted Answer

Contract manufacturing refers to the practice of outsourcing production to a third-party manufacturer, which in this case is a foreign company. The foreign company produces the goods on behalf of the domestic company under the domestic company's private label. The other options listed do not accurately describe this scenario.

A Domestic Company May Decide to Sign an Agreement for the Production