IGCSE Development Studies: Specimen Questions with Answers 49 - 50 of 98

Explanation

“Practice of hiring a company outside the company to carry out tasks and services and produce goods in the similar manner as it was performed by the company՚s own employees.”

The above statement explains about outsourcing. Outsourcing is defined as a process of transfer of complete business which was traditionally operated and managed internally to an independently external service provider.

It includes:

• Complete Transfer of all associated internal business process activities.
• When outsourced, the people, equipment, technology, facilities, and other assets are not maintained internally by the organization.

Explanation

Asian Development Bank (ADB) is a regional development bank which was established on 22^nd August, 166 with the main purpose of facilitating economic development in the countries of Asia. ADB members have grown from 31 to 67 of which 48 are from Asia and Pacific and the others are from outside.

• Promotes investment in the region of public and private capital for development purposes.
• Provide loans for the economic and social development of the member countries of the region
• Help member countries in coordinating their development policies and plan.
• Mobilization of financial resources through financing operations that cover official, export credit and commercial sources.