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_______________ is a cost-effective way that many companies outsource the production of goods, such as clothing, shoes, and cell phones. The domestic firm contracts with a foreign company to produce and private-label the goods, because the price is much cheaper than the domestic firm could produce in its' home market.

Franchising
Foreign direct investment
Contract manufacturing
Exporting

Respuesta :

ofentsemaphalla

Answer:

Contract manufacturing

Explanation:

A contract manufacturer is a company for parts or product lines that contracts with a corporation.  It's an subcontracting type.

Businesses can make profit by collaborating with a supplier who already  understands the production process, may have specialized in the suitable  machinery and operates comparable but non-competing products in their plant  in order to benefit from efficiency gains.

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