An Outsourcing Strategy

Multiple Choice

An outsourcing strategy

A) is nearly always a more attractive strategic option than merger and acquisition strategies.
B) carries the substantial risk of raising a company's costs.
C) carries the substantial risk of making a company overly dependent on its suppliers.
D) increases a company's risk exposure to changing technology and/or changing buyer preferences.
E) involves farming out certain value chain activities presently performed in-house to outside vendors.