When a U.S.ship yard purchases raw materials from locations around the world, for example steel from China, this is called ________.
A)licensing
B)a joint venture
C)global sourcing
D)a global alliance

Question

Quizplus · Accepted Answer

Global sourcing refers to the practice of purchasing goods and services from locations around the world to take advantage of lower costs, higher quality, or unique expertise. In this scenario, the U.S. shipyard is purchasing steel from China, which is a form of global sourcing. Licensing refers to a contractual agreement in which one company allows another company to use its intellectual property (such as patents, trademarks, or copyrights) in exchange for a fee or royalty. A joint venture refers to a business partnership in which two or more companies share ownership and control over a new entity. A global alliance refers to a strategic partnership between two or more companies to achieve mutual goals, such as collaboration on research and development or marketing efforts. None of these terms accurately describe the scenario described in the question.

When a USShip Yard Purchases Raw Materials from Locations Around the World