When a company utilizes _____, it arranges for other organizations to perform value chain functions that were previously performed internally.
A) offshoring
B) labor division
C) outsourcing
D) vertical integration

Question

Quizplus · Accepted Answer

Outsourcing involves arranging for other organizations to perform value chain functions that were previously performed internally. Offshoring refers specifically to moving these functions to a foreign country. Labor division is a general term that refers to breaking down a task into smaller parts and assigning different parts to different workers. Vertical integration involves a company taking over functions that were previously performed by a supplier or distributor, rather than outsourcing them.

When a Company Utilizes _____, It Arranges for Other Organizations