If a particular function is one of a firm's core competencies, it typically performs this function itself rather than outsourcing it to another organization.

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Core competencies are the unique strengths and capabilities of a firm that give it a competitive advantage over its rivals. Therefore, if a particular function is one of a firm's core competencies, it is generally in its best interest to perform that function in-house to maintain its competitive advantage. Outsourcing such functions may result in loss of control over the quality of the function, increased costs, and decreased competitiveness.

If a Particular Function Is One of a Firm's Core