All of the Following Are Disadvantages of Licensing Except Which

question 82

Multiple Choice

All of the following are disadvantages of licensing except which?

• A) The licensor has reduced potential profits compared to direct investment.
• B) The foreign country does not benefit from increases in local employment for product manufacturing.
• C) The licensor forgoes control of its product.
• D) Should the licensee prove to be a poor choice, the name or reputation of the company may be harmed.
• E) The licensor may be creating its own competition.

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Definitions:

Selector Switch

A control device with multiple positions that allows the user to select different functions or settings.

Limit Switch

A device used to detect the presence or absence, passing, or end position of an object by making or breaking an electrical connection.

Pressure Switch

A device that activates or deactivates an electrical contact based on changes in pressure.

Thermocouple

A sensor used for measuring temperature, made from two different conductors that generate a voltage, proportional to a temperature difference.