Pilot Motors Corporation is an automobile manufacturer. The company produces its own motors, tires, and other automobile parts. Pilot has the opportunity to purchase tires from another manufacturer instead of producing them in their own facility. This type of decision is typically known as a(n):

Question

Quizplus · Accepted Answer

An outsourcing decision is defined as the decision to purchase goods or services from an external supplier rather than producing them in-house. In this scenario, Pilot Motors Corporation is considering purchasing tires from another manufacturer instead of producing them in their own facility. Therefore, this is an example of an outsourcing decision.

Pilot Motors Corporation Is an Automobile Manufacturer