Which of the following statements is true about outsourcing production/manufacturing and new ventures?
A) The use of third-party manufacturers is commonplace
B) Outsourcing production/manufacturing saves significant capital for the venture
C) The third-party contractor gains access to the intellectual capital of the new venture
D) All the above are true

Question

Quizplus · Accepted Answer

Outsourcing production/manufacturing is a common strategy for new ventures to save on capital costs and focus on core competencies. While doing so, they often share intellectual capital with third-party manufacturers to ensure product specifications are met, making all the provided statements true.

Which of the Following Statements Is True About Outsourcing Production/manufacturing