A company may be able to differentiate its final products better by outsourcing certain noncore activities to specialists.

Question

Quizplus · Accepted Answer

By outsourcing noncore activities such as IT services or manufacturing, a company can focus on its core competencies and allocate resources towards improving the quality of its unique, differentiated products. This can lead to a stronger market position and higher customer satisfaction.

A Company May Be Able to Differentiate Its Final Products