Submission The Situation: Imagine that you own a small software company. The company currently has three full time employees, including yourself as the CEO. There is one person (software developer) who writes software based on specifications provided by you. There is one person (testing and support) whose job it is to test new software and to help customers find solutions to problems they may run into with the software product.You have determined that you can leverage your existing code to create a new product which will result in a significant increase in sales. In order to capitalize on this, you will need to expand software development, testing, and customer support. However, the new software has a limited lifetime in the marketplace, and will be obsolete in two years.You can hire locally, either full time or contract, for the 3 new positions. It will require two software developers and one new support position. A typical cost for full time positions would be $40,000 to $60,000 per year, plus about 25% in benefits. Contract positions tend to have a higher pay rate, but are limited in time, so there is no ongoing commitment from the employer.Finally, you have been introduced to an offshore development company in India which does outsourcing. They will provide the same quality of services at approximately one third of the cost, including 24/7 coverage for support. It will take some additional time to manage a process so far away, but it has the added advantage that problems with the software can be fixed "overnight", since the software developers are working with a time difference that is 9 hours ahead.In summary, there are 3 HR Strategy Options here: 1. hire fulltime 2. hire contract or temporary employees 3. send the work offshore to an outsourcing company.Please answer the following questions & submit your response to the appropriate Submission folder in FOL. 1.Which option is the lowest cost for the company? Explain your reasoning.2.Which option has the lowest risk for the company? Explain your reasoning.3.Would you consult with your existing staff before making a decision on additional staffing? Whatare the benefits and difficulties with involving your existing staff in the decision-making?4.Would your decision be influenced if you had a friend who was looking for work? Why or why not?5.Knowing what you do at this point, which HR strategy option would you prefer to implement in this situation? Explain your reasonin