Outsourcing

Question 1

What industries are moving abroad?

Answer 1

Primary sector has moved.
Secondary sector is moving.
Tertiary sector is beginning to move.

Question 2

Outsourcing

Answer 2

A practice used by some companies to obtain goods and services by contract from an outside supplier rather than providing goods and services themselves.

Question 3

Advantages of Outsourcing

Answer 3

• higher profit for businesses as wages are cheaper abroad to do admin tasks
• faster task completion as staff have full focus
• focus on core business, as opposed to admin

Question 4

Disadvantages

Answer 4

• loss of confidentiality
• barrier of cultural differences
• losing management control of business functions
• dependence on outsource supplier
• lack of control over task completion as

Question 5

Does the world get smaller or larger over time, metaphorically?

Answer 5

Smaller, as communication speed increases