Licensing Has an Advantage Over Exporting Because the Company Enters

question 217

True/False

Licensing has an advantage over exporting because the company enters the market with a known product, leases manufacturing space, hires foreign labour and, for a limited time, manufactures a product that has a high probability of success.

---

Definitions:

Dissolution

The process of a solid substance becoming incorporated into a liquid to form a solution.

Limestone

A sedimentary rock composed mainly of calcium carbonate, often formed from the shells and skeletons of marine organisms.

Outer Weathered Zone

The top layer of the Earth's surface, altered by weathering processes, involving the physical and chemical breakdown of rocks and minerals.

Fractured Rocks

Rocks that have been broken or cracked through natural processes or human activity, often creating pathways for the movement of fluids or gases.