A firm that buys goods that it would normally produce internally from an international company is using

Question

Quizplus · Accepted Answer

The firm is sourcing the goods from an international company, indicating that they are outsourcing the production function to a foreign entity. Therefore, the best choice is international outsourcing. Transfer pricing refers to pricing goods between divisions of the same firm, insourcing refers to producing goods internally rather than outsourcing, and domestic outsourcing would refer to outsourcing to a firm within the same country.

A Firm That Buys Goods That It Would Normally Produce