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Firms are advised to reevaluate outsourcing decisions because a distant supplier may not:
AMeet needs at lower total cost
BMeet staff at lower head count
CMeet rules at lower tax rates
DMeet dates at lower postage
Answer & Solution
Correct answer: A. Meet needs at lower total cost
1. The unit price is only part of it.
2. Total cost includes the whole chain.
3. It may not meet needs at a lower overall cost.
_Source: OpenStax Introduction to Business, Chapter 10, supply chain and quality sections._
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