Read the passage and answer the questions:
The highest level of decision makers or policymakers perform quinary activities. These are subtly different from the knowledge-based industries that the quaternary sector in general deals with. Quinary activities are services that focus on the creation, re-arrangement and interpretation of new and existing ideas; data interpretation and the use and evaluation of new technologies. Often referred to as ‘gold collar’ professions, they represent another subdivision of the tertiary sector representing special and highly paid skills of senior business executives, government officials, research scientists, financial and legal consultants, etc. Their importance in the structure of advanced economies far outweighs their numbers. Outsourcing has resulted in the opening up of a large number of call centers in India, China, Eastern Europe, Israel, the Philippines and Costa Rica. It has created new jobs in these countries. Outsourcing is coming to those countries where cheap and skilled workers are available. These are also out migrating countries. With the work available through outsourcing, the migration in these countries may come down. Outsourcing countries are facing resistance from job-seeking youths in their respective countries. The comparative advantage is the main reason for continuing outsourcing. New trends in quinary services include knowledge processing outsourcing (KPO) and ‘home shoring’, the latter as an alternative to outsourcing. The KPO industry is distinct from Business Process Outsourcing (BPO) as it involves highly skilled workers. It is information-driven knowledge outsourcing. KPO enables companies to create additional business opportunities. Examples of KPOs include research and development (R and D) activities, e-learning, business research, intellectual property (IP) research, legal profession and the banking sector.
Identify the correct statements.
A. Outsourcing is coming to those countries which are out-migrating countries too.
B. Home shoring is a new trend associated with quinary activities
C. The KPO industry is different from BPO.
D. Quinary activities are services that focus on the creation but not on the re-arrangement and interpretation of new and existing ideas.
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → A, B and C only
A. Outsourcing is coming to those countries which are out-migrating countries too. Correct. The countries with cheap and skilled workers are also out-migrating countries: people leave them for want of jobs. Outsourced work brings jobs to them, so fewer people need to go abroad and migration may come down.
B. Home shoring is a new trend associated with quinary activities Correct. New trends in quinary services include KPO and ‘home shoring’, the latter as an alternative to outsourcing.
C. The KPO industry is different from BPO. Correct. KPO is distinct from Business Process Outsourcing because it involves highly skilled workers.
D. Quinary activities are services that focus on the creation but not on the re-arrangement and interpretation of new and existing ideas. Incorrect. Quinary activities focus on the creation, re-arrangement and interpretation of new and existing ideas — all three, not creation alone.
NCERT (2025-26): “Quinary Activities … Quinary activities are services that focus on the creation, re-arrangement and interpretation of new and existing ideas; data interpretation and the use and evaluation of new technologies. Often referred to as ‘gold collar’ professions, they represent another subdivision of the tertiary sector representing special and highly paid skills of senior business executives, government officials, research scientists, financial and legal consultants, etc. Their importance in the structure of advanced economies far outweighs their numbers. …Outsourcing is coming to those countries where cheap and skilled workers are available. These are also out-migrating countries. With the work available though outsourcing, the migration in these countries may come down. Outsourcing countries are facing resistance from job-seeking youths in their respective countries. The comparative advantage is the main reason for continuing outsourcing. New trends in quinary services include knowledge processing outsourcing (KPO) and ‘home shoring’, the latter as an alternative to outsourcing. The KPO industry is distinct from Business Process Outsourcing (BPO) as it involves highly skilled workers.…” |