Explain the dilemmas faced by businesses with regard to outsourcing
What will be an ideal response?
The increase in outsourcing of manufacturing and service-sector jobs, despite political opposition, brought into focus a dilemma for private- and public-sector companies in developed nations worldwide. Treading the delicate balance between cost savings on goods and services and increased exports to fast-growing developing countries on the one hand, versus loss of jobs and "heat" from politicians on the other hand, present problems for many private-sector companies.
Also, doing a cost-benefit analysis with regard to outsourcing does not produce many hard numbers. For example, if some jobs are outsourced to India, how is that balanced against Indians buying more U.S. services, and U.S. citizens being able to buy cheaper goods manufactured in India? Most multinationals need to ask themselves many questions in regard to outsourcing, such as the types of employees and skill levels needed, the time required for employees' training, and the effect of outsourcing on the process of delivering the services or manufacturing the goods. Legal questions also exist at the federal, state, and international levels.
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Yusuf has requested unpaid leave to care for his wife. She was injured while serving in the Army in Afghanistan. Yusuf will be able to take this leave and return to his original job (or an equivalent one) under ______.
A. Social Security B. the Affordable Care Act C. the Family Medical Leave Act D. Medicare
Exposure netting is a process parallel to ____________ but with exposed positions in foreign currencies.
Fill in the blank(s) with the appropriate word(s).
A cost that remains constant for a range of output and then increases to a higher level is called a(n):
a. mixed cost. b. step cost. c. opportunity cost. d. variable cost. e. None of the answers are correct.
Unlikely candidates for divestiture in a corporate restructuring effort are
A. businesses compatible with the company's revised diversification strategy B. businesses in unattractive industries C. business units that lack strategic fit with the businesses to be retained D. weak performers E. businesses that are cash hogs or that lack other types of resource fit