Q.The main benefit of outsourcing is :

The chief benefit of outsourcing is cost reduction, so the answer is (b).

Outsourcing is the practice of contracting out non-core activities (like BPO/KPO work) to specialised external agencies rather than doing them in-house.

Why (b) Cost reduction:

• The biggest advantage a firm gains is a lower cost of operations, since the outside agency can do the work more cheaply and the firm avoids setting up its own facilities. …

The main benefit of outsourcing is cost reduction, option (d).

Outsourcing means contracting out a non-core (or specialised) activity to an external agency that can perform it efficiently. A firm outsources services such as accounting, customer support or IT to specialist providers, often in low-cost locations. While outsourcing also brings access to expertise and lets a firm focus on its core work, its principal benefit is **cost re …