Lee, R. P., & Kim, D. (2010). Implications of service processes outsourcing on firm value. Industrial Marketing Management, 39(5), 853-861. Retrieved from http://primo2.hosted.exlibrisgroup.com:1701/primo_library/libweb/action/display.do?frbrVersion=3&tabs=detailsTab&ct=display&fn=search&doc=TN_sciversesciencedirect_elsevierS0019-8501(10)00003-9&indx=9&recIds=TN_sciversesciencedirect_elsevierS0019-8501(10)00003-9&recIdxs=8&elementId=8&renderMode=poppedOut&displayMode=full&frbrVersion=3&fctN=facet_tlevel&fctN=facet_tlevel&dscnt=3&vl(1UI0)=contains&vl(7369302UI0)=any&scp.scps=scope:("CALUMET"),primo_central_multiple_fe&fctV=online_resources&fctV=peer_reviewed&frbg=&tab=default_tab&dstmp=1329025999035&srt=rank&vl(4167432UI1)=all_items&mode=Basic&dum=true&tb=t&vl(freeText0)=outsourcing benefits&vid=PUCL

(I’m not sure what to do about the extremely long website…and again I can’t seem to do a hanging indent on the citation…)

Summary
This article talked about how contract duration, outsourcing functions, and outsourcing locations help determine the effect of outsourcing on a firm’s performance.  It had a nice picture showing these three things as well.  The authors state that “outsourcing provides firms with a generally positive cumulative abnormal return” (Lee & Kim, 2010).  It listed many of the same pros and cons as other articles I have read, but the authors additionally said that “the stock market reacts more favorably to offshore than onshore outsourcing” (Lee & Kim, 2010).  Lastly, they suggest that businesses should not outsource IT for a long period of time, because it could reduce innovation.

Assessment
I also think this source is useful and reliable.  The authors biographies looked credible again, and this was a peer-reviewed journal I found through the Purdue Library.  


Reflection
I will use this source for my project, for some of the additional pros and cons I mentioned above, and maybe the picture of the 3 factors that help determine how outsourcing effects a business.