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City-Mart,a Supermarket Chain,used to Outsource Its Logistics Service

Question 22

Multiple Choice

City-mart,a supermarket chain,used to outsource its logistics service.Over a period of time,the company discovered an irregularity in the amount of products delivered and the payments collected for those products.It was found that the systems for payment acceptance and logistics were breached by a foreign agent in the firm,which led to the termination of the outsourcing contract by City-mart.Which of the following would be the most appropriate issue related to outsourcing in this scenario?


A) Negative impact on customer relationships and satisfaction
B) Data security and integrity issues
C) Vertical integration
D) Horizontal integration

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