Task A (10 marks):

Study “Case DATA ANALYSIS: AstraZeneca Terminates $1.4B Outsourcing Contract with IBM” in your text book [Chapter 12] and answer the following questions:

  • What mistakes did AstraZeneca make?
  • What mistakes did IBM make?
  • Why are outsourcing contracts for five or more years?
  • Why do you think two major corporations could make such mistakes?
  • Do you think the 2007 SLA was doomed to fail? Explain your answer.
  • What provisions in the 2012 SLAs protect AstraZeneca and the vendors?
  • Why would parties prefer to use an arbitrator instead of filing a lawsuit in court?


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