Outsourcing is a practice often associated with globalization because it involves:

Outsourcing is a practice often associated with globalization because it involves:

• A. Producing all goods domestically
• B. Increasing tariffs
• C. Ending international supply chains
• D. Moving production to other countries to reduce costs

Answer: (D)

Outsourcing is about relocating production to other countries to cut costs, which shows globalization at work by spreading economic activity beyond national borders. When a company moves manufacturing or services overseas, it taps into foreign labor, materials, or expertise, creating interconnected supply chains that link producers and markets around the world. That cross-border production is a defining feature of globalization, as firms look beyond their home country to stay competitive. Producing all goods domestically would be the opposite of outsourcing, since it keeps production inside one country. Increasing tariffs is a policy move that can affect global trade costs, but it’s not what outsourcing describes. Ending international supply chains would eliminate globalization, whereas outsourcing thrives on those cross-border connections. The idea of outsourcing is precisely moving production to other countries to reduce costs.

Outsourcing is about relocating production to other countries to cut costs, which shows globalization at work by spreading economic activity beyond national borders. When a company moves manufacturing or services overseas, it taps into foreign labor, materials, or expertise, creating interconnected supply chains that link producers and markets around the world. That cross-border production is a defining feature of globalization, as firms look beyond their home country to stay competitive.

Producing all goods domestically would be the opposite of outsourcing, since it keeps production inside one country. Increasing tariffs is a policy move that can affect global trade costs, but it’s not what outsourcing describes. Ending international supply chains would eliminate globalization, whereas outsourcing thrives on those cross-border connections. The idea of outsourcing is precisely moving production to other countries to reduce costs.