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Outsourcing is great, but it may not be appropriate for certain functions. The Rule of Thumb is, 'If something comes in the first few sentences of your pitch, You probably don't want to outsource it.' For instance, Google's pitch is that its search algorithm provides better results than everyone else's. It is their core offering and prime differentiating factor. Hence, they probably should not outsource the development of the "PageRank" search algorithm. Now, even google may decide to outsource some non-­‐core software such as the front-­‐end work for the android web page or sales support CRM for their Adwords team. In fact, they do. According to Google, a business should "Eliminate, automate or outsource any of the non-­‐value transactional work-­‐ it has really freed up ourselves, and it is a never-­‐ending exercise to constantly refine that."

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