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The Big Risk of Employing an Outsourcing Strategy Is

Question 103

Multiple Choice

The big risk of employing an outsourcing strategy is


A) causing the company to become partially integrated instead of being fully integrated.
B) hollowing out a firm's own capabilities and losing touch with activities and expertise that contribute fundamentally to the firm's competitiveness and market success.
C) hurting a company's R&D capability.
D) putting the company in the position of being a late mover instead of an early mover.
E) increasing the firm's risk exposure to both supply chain management failures and shifts in the composition of the industry value chain.

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