Adia, the chief executive officer (CEO)of Touch Works Corp., believes that outsourcing would be a disadvantage to her company. She states that she would not be able to control the finances and assets of her company if work gets outsourced. Which of the following statements strengthens Adia's belief?
A)Outsourcing would maximize the capital investment that Touch Works Corp. would require to grow.
B)Outsourcing would prevent Touch Works Corp. from contracting out activities to industry specialists.
C)Touch Works Corp. would be forced to focus on a wide range of activities.
D)Touch Works Corp. would lose the ability to innovate and create competitive advantage.

Question

Quizplus · Accepted Answer

If Touch Works Corp. outsources their work, they may lose the ability to innovate and create competitive advantage, which means they will not be able to differentiate their products or services from those of their competitors. This would be a disadvantage for the company, and it strengthens Adia's belief. Choices A, B, and C do not strengthen Adia's belief because they do not directly relate to her concern about losing control over financials and assets.

Adia, the Chief Executive Officer (CEO)of Touch Works Corp