Outsourcing replaces fixed costs with variable costs—companies onlypay for what they use, rather than maintaining their own fleet.
Option A is incorrectbecause gaining market access is abenefit of offshoring, not outsourcing.
Option C is incorrectas there is no mention of shareholders in the scenario.
Option D is incorrectsince the inefficiency trap relates tooffshoring.
(LO 1.2, See p.44)
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