PRC-3 · Chapter 3 · Question 43 of 70
A hotel chain decides to close its internal IT department and instead hires a specialized tech firm to manage its servers and networks for a fixed monthly fee. What business strategy is the hotel utilizing?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Outsourcing
Explanation
Outsourcing is the practice of contracting out non-core business activities (like IT support) to specialized external vendors to improve efficiency or cut costs.
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