When Considering Outsourcing, What Should Firms Be Sure to Avoid

Multiple Choice

When considering outsourcing, what should firms be sure to avoid?

A) Losing control of noncore activities that don't distinguish the firm
B) Allowing outsourcing to develop into a substitute for innovation
C) Giving the outsourcing partner opportunities to become a strong competitor
D) Allowing employees transferred to the outsourcing partner to rejoin the firm
E) Adverse corporate tax implications of asset transfers to the outsourcing partner