The buying of parts of a product to be assembled elsewhere or the hiring of independent contractors to assist with business operations.

• A. Organizational Chart
• B. Outsourcing
• C. Overhead
• D. Patent

Answer: (B)

Outsourcing is the practice of obtaining goods or services from outside the company rather than producing them in-house. Buying parts to be assembled elsewhere or hiring independent contractors to handle parts of the operations fits this idea because the work is being done by external entities, not by the company’s own staff or facilities. This approach can reduce costs, provide access to specialized expertise, and offer flexibility in scale and timing.

The other terms describe different ideas: an organizational chart shows internal reporting relationships; overhead is ongoing, indirect costs tied to running the business; and a patent is legal protection for an invention.