PRC-3 · Chapter 3 · Question 25 of 70
TechStart Inc. consists of just three founders who work from home. They hire external companies to handle manufacturing, marketing, and accounting, coordinating everything via cloud computing. What describes TechStart?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Virtual organization
Explanation
A virtual organization relies heavily on IT networks and external independent companies (outsourcing) to operate, rather than maintaining a large internal physical footprint.
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