In the last decade, many large-scale companies have moved production processes of their products to smaller nations. Many business leaders have chosen to do so as a result of the low production and operation costs in less industrialized areas. This is an example of:
A) Subcontracting
B) A global business strategy
C) Outsourcing
D) Offshoring

Question

Quizplus · Accepted Answer

Moving production processes to smaller nations with lower production and operation costs is an example of offshoring, which involves relocating business operations to another country. Subcontracting involves hiring another company to perform a specific task or project, while outsourcing involves delegating tasks or processes to an outside provider. A global business strategy involves expanding operations to multiple countries, which may or may not involve offshoring or outsourcing.

In the Last Decade, Many Large-Scale Companies Have Moved Production