4. According to the passage, which of the following is common to both Peavy’s and Morgan’s studies?Explanation- Both studies focus on improving outsourcing, not questioning its long-term viability.
- They discuss different aspects of outsourcing, but overlap in one area: both see problems with diversification (Peavy: diversification increases liability for the service provider; Morgan: diversification reduces quality/service for the client).
(A) False, both see problems with diversification, so they don’t
“welcome” it.
(B) No, they focus on improving outsourcing, not on outsourcing’s effect on the corporation’s long-term viability.
(C) May be, both explore how diversification in the service provider affects outsourcing. Peavy: diversification increases liability for the provider;
Morgan: diversification diminishes quality for the client. So yes, both discuss how diversification in the service-providing company affects outsourcing.
(D) No, both do focus on the impact of diversification on the business entities providing services (Peavy on liability, Morgan on quality).
(E) Yes, neither questions whether outsourcing is beneficial; they assume it is and focus on improving it. This is stated in the first paragraph:
“few question outsourcing’s long-term viability” and
“both focus on ways in which outsourcing can be improved.”(C) vs (E):(C) is about diversification’s effect on outsourcing, both mention diversification, but is that the common element? The passage says
“there is one area in which the recommendations of both theories overlap somewhat”, that area is diversification.
(E) is about not questioning outsourcing’s benefit, that’s also common to both.
But the question asks:
“According to the passage, which of the following is common to both Peavy’s and Morgan’s studies?”The first paragraph says both focus on improving outsourcing, not questioning it,
(E) fits perfectly.
The overlap section says both see problems with diversification,
(C) also fits.
But
(C) says
“explore the way in which diversification and growth within a corporation can affect outsourcing”, Morgan looks at diversification of the service provider, Peavy also looks at diversification of the service provider. So both discuss diversification’s effect on outsourcing.
However,
(E) is directly supported by the opening:
“few question... both focus on ways in which outsourcing can be improved.” That’s a clear commonality.
Answer: E