Question: Froth Ltd. is into car manufacturing business and develops different car parts. They decide that instead of manufacturing some of the car parts in India,

Froth Ltd. is into car manufacturing business and develops different car parts. They decide that instead of manufacturing some of the car parts in India, they can outsource them to China, where the same parts are manufactured in a more specialized manner.

a. Identify the mode of international business that Froth Ltd. is talking about?

b. List down the advantages of the mode identified in part a.

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