Question

Suppose PWC in London, U.K., decides to use its accounting subsidiary located in Manchester, U.K. This Would be an example of .......?

A) Domestic Outsourcing

B) Domestic in-sourcing

C) Offshore in-sourcing

D) Offshore Outsourcing

Answer 1

When a company uses its own subsidiary to execute a task or to perform a function that is being performed by the company itself then such action is referred to as insourcing.

Insourcing can be domestic or offshore.

If the subsidiary to which work is allocated is in different country then the insourcing is offshore.

On the other hand, if the subsidiary is in same country as the parent company then it is referred to as domestic insourcing.
So,

Suppose PWC in London, U.K., decides to use its accounting subsidiary located in Manchester, U.K. This Would be an example of domestic in-sourcing.

Hence, the correct answer is the option (B).