The most significant sourcing decision for a firm is

A) whether to locate a plant close to customers or locate a plant close to sources of raw materials or suppliers.
B) whether to use highly automate processes or manual labor.
C) whether to use traditional inventory methods or adopt a just in time approach to stocking.
D) whether to perform a task in-house or outsource it to a third party.

Sourcing Decision

The process of determining where and how a company will procure the necessary goods or services to conduct its business.

Traditional Inventory

A conventional method of inventory management where stocks are maintained to meet demand without considering just-in-time strategies.

Manual Labor

Work performed by hand or with basic tools rather than machinery, often requiring physical effort.