The Two Big Drivers of Outsourcing Are

The two big drivers of outsourcing are

A) a desire to reduce the company's investment in fixed assets and the need to narrow the scope of the company's in-house competencies and competitive capabilities
B) an increased ability to cut R&D expenses and an increased ability to avoid the problems of strategic alliances
C) that a smaller in-house workforce and a low investment in intellectual capital will produce cost savings
D) the ability to avoid capital investments that accompany vertical integration and a desire to reduce the company's risk exposure to changing technology and/or changing buyer preferences
E) that outsiders can often perform certain activities better or more cheaply,and outsourcing allows a firm to focus its entire energies on those activities that are at the center of its expertise (its core competencies)