Management Information System (MIS) Practice Exam

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Aortego's shift from India to Canada can best be explained as...

Offshoring.
Outsourcing.
In-forming.
Nearshoring.

The correct answer is: Nearshoring.

The shift of Aortego from India to Canada can best be understood as nearshoring. Nearshoring refers to the practice of relocating business operations to a nearby country, typically to take advantage of closer geographic proximity, similar time zones, or lower shipping costs while maintaining some cost benefits. In this scenario, Aortego's movement from India to Canada signifies a strategic decision to bring operations closer to its primary market or corporate headquarters, which often results in improved communication, shorter delivery times, and better collaboration among teams. In contrast, offshoring refers to moving operations to a country significantly farther away, primarily focused on cost reduction. Outsourcing typically involves contracting third-party firms to handle certain business functions rather than relocating operations. In-forming describes an approach that leverages the internet for information acquisition but is not directly relevant to shifts in operational locations. Thus, nearshoring accurately captures the strategic intent behind Aortego's move.