An Advantage of Licensing to a Company Is That It

question 33

Multiple Choice

An advantage of licensing to a company is that it ________, while the licensee gains production expertise or a well-known product without having to start from scratch.

• A) does not maintain the same level of control over product quality
• B) must send employees to work with the licensee in training, selling, and distribution
• C) might create a competitor
• D) gains entry to a foreign market at little risk
• E) requires significant financial investment

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Definitions:

McNemar Test

A statistical analysis applied to matched nominal data to assess if the frequencies at the margins of rows and columns are the same.

Nonparametric Tests

Statistical tests that do not assume a specific distribution for the data, often used when data do not meet the assumptions required for parametric tests.

Nonparametric Statistics

A branch of statistics that does not assume a specific distribution for the population from which the sample is drawn.

Assumptions

Premises or conditions that are accepted as true or as certain to happen, without proof, within the context of a specific model or method.