Managers have obligations to a wide variety of stakeholders such as shareholders, employees and customers.When considering outsourcing production to offshore suppliers, managers have to weigh __. I) Cost benefits that might make shareholders wealthier
II) Quality issues that might make firms less productive and/or products riskier
III) The investments already tied up in relationships with existing suppliers
A)I
B)II
C)III
D)I and II only
E)I, II and III

Question

Quizplus · Accepted Answer

When considering outsourcing production to offshore suppliers, managers have to weigh cost benefits that might make shareholders wealthier, quality issues that might make firms less productive and/or products riskier, and the investments already tied up in relationships with existing suppliers. Therefore, all options (I, II, and III) need to be considered.

Managers Have Obligations to a Wide Variety of Stakeholders Such