Last visit was: 19 May 2026, 10:37 It is currently 19 May 2026, 10:37
Home
Messages
Tests
Schools
Events
Close
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Go to My Error Log Learn more
Close
Request Expert Reply
Confirm Cancel
User avatar
karlfurt
User avatar
Joined: 02 Mar 2006
Last visit: 16 May 2008
Posts: 346
Own Kudos:
584
Location: France
Posts: 346
Kudos: 584
Gmatprep CR Outsourcing 17 Dec 2006, 14:23
Kudos
Add Kudos
Bookmarks
Bookmark this Post
00:00
Start Timer
Pause Timer
Resume Timer
Show Answer
Hide
Show
History
N
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 0% (00:00) wrong based on 2 sessions

History

Date
Time
Result
Not Attempted Yet
outsourcing



Archived Topic
Hi there,
This topic has been closed and archived due to inactivity or violation of community quality standards. No more replies are possible here.
Where to now? Join ongoing discussions on thousands of quality questions in our Critical Reasoning (CR) Forum
Still interested in this question? Check out the "Best Topics" block below for a better discussion on this exact question, as well as several more related questions.
Thank you for understanding, and happy exploring!
User avatar
mbagal1
User avatar
Joined: 28 Dec 2005
Last visit: 12 Oct 2010
Posts: 693
Own Kudos:
108
Posts: 693
Kudos: 108
Gmatprep CR Outsourcing 17 Dec 2006, 14:27
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Vernon plans to boost profits by getting lowest price on the outsourced item. This indicates (D) as the answer, ie: Vernon selects suppliers based on their bids. This will help Vernon decide which is the lowest.
User avatar
anindyat
User avatar
Joined: 08 Jun 2006
Last visit: 25 Jul 2008
Posts: 159
Own Kudos:
251
Location: Washington DC
Posts: 159
Kudos: 251
Gmatprep CR Outsourcing 17 Dec 2006, 20:03
Kudos
Add Kudos
Bookmarks
Bookmark this Post
I think the question is whether Vernon’s plan to “outsourceâ€
User avatar
mm007
User avatar
Joined: 04 Nov 2006
Last visit: 22 Dec 2007
Posts: 166
Own Kudos:
1,113
Location: California
Posts: 166
Kudos: 1,113
Gmatprep CR Outsourcing 17 Dec 2006, 22:56
Kudos
Add Kudos
Bookmarks
Bookmark this Post
E...
User avatar
mm007
User avatar
Joined: 04 Nov 2006
Last visit: 22 Dec 2007
Posts: 166
Own Kudos:
1,113
Location: California
Posts: 166
Kudos: 1,113
Gmatprep CR Outsourcing 17 Dec 2006, 22:58
Kudos
Add Kudos
Bookmarks
Bookmark this Post
D will not hold.. even if it can select vendor through bidding, it does not guarantee that they can reduce the cost...

E however mentions that the company can direct its resources more productively..
User avatar
yogeshsheth
User avatar
Joined: 01 Oct 2006
Last visit: 19 Jul 2008
Posts: 301
Own Kudos:
76
Posts: 301
Kudos: 76
Gmatprep CR Outsourcing 18 Dec 2006, 13:08
Kudos
Add Kudos
Bookmarks
Bookmark this Post
E 2..
User avatar
mbagal1
User avatar
Joined: 28 Dec 2005
Last visit: 12 Oct 2010
Posts: 693
Own Kudos:
108
Posts: 693
Kudos: 108
Gmatprep CR Outsourcing 18 Dec 2006, 13:55
Kudos
Add Kudos
Bookmarks
Bookmark this Post
mm007
D will not hold.. even if it can select vendor through bidding, it does not guarantee that they can reduce the cost...

E however mentions that the company can direct its resources more productively..
Show more


Hmm, I think I may have been wrong with this. Your reasoning makes sense.
User avatar
karlfurt
User avatar
Joined: 02 Mar 2006
Last visit: 16 May 2008
Posts: 346
Own Kudos:
584
Location: France
Posts: 346
Kudos: 584
Gmatprep CR Outsourcing 18 Dec 2006, 14:35
Kudos
Add Kudos
Bookmarks
Bookmark this Post
I'm the only one to have chosen C. OA E.

I believed that C was better than E, because it says that the supplier is unlikely to become a competitor-> strengthens the argument. The company will make profit(since outsources for cheaper) and will keep making profit since no fear from competitors.

E says that manager will not spend their time on inefficient tasks. Is producing a product more expensive than a supplier would, synonym of inefficient task? I am not sure.
Nothing in E says that outsourcing will reduce the amount of inefficient task. Moreover, manager can focus on the core business but will that really increase the profits?

humm, is there anyone to support me or am I out of scope?
Anyway, on Wednesday I have my exam, so it's pretty late to change my way of thinking!



Archived Topic
Hi there,
This topic has been closed and archived due to inactivity or violation of community quality standards. No more replies are possible here.
Where to now? Join ongoing discussions on thousands of quality questions in our Critical Reasoning (CR) Forum
Still interested in this question? Check out the "Best Topics" block above for a better discussion on this exact question, as well as several more related questions.
Thank you for understanding, and happy exploring!
Moderators:
GMATNinja
GMAT Club Verbal Expert
7393 posts
AbhishekP220108
583 posts
bhanu29
368 posts