The potential loss of intellectual capital is a concern related to outsourcing.

Question

Quizplus · Accepted Answer

Intellectual capital refers to the knowledge, skills, and expertise of employees that contribute to the success of a business. When outsourcing, there is a risk of losing this intellectual capital if the company decides to lay off employees or if the outsourced workers do not possess the same level of expertise. Therefore, the potential loss of intellectual capital is a valid concern related to outsourcing.

The Potential Loss of Intellectual Capital Is a Concern Related