Abroad Standard,Inc.(ASI)Abroad Standard,Inc.(ASI) ,sells its products through the Internet.Erica is one of the biggest buyers of the company's products for her business.Nearly all of the interactions between Erica's company and ASI have been electronic,saving both time and energy.
Although transaction costs are reasonable,ASI has encountered financial problems with high production costs.Ronald,a veteran employee of ASI,suggested to senior management that certain aspects of production may need to be handled by other,more efficient companies.Ronald also suggested that the company might want to create a physical store to possibly increase its visibility and potential profits.He explained many disadvantages of operating solely through the Internet.
-Refer to Abroad Standard,Inc.Ronald suggested that the company ____ part of production.

Question

Quizplus · Accepted Answer

Ronald suggests that certain aspects of production should be handled by other, more efficient companies. This implies outsourcing production to other companies, making choice C the best option.