Which of the Following Is an Advantage of Licensing and Franchising

question 90

Multiple Choice

Which of the following is an advantage of licensing and franchising?

• A)High control
• B)Irrelevance of the legal and regulatory environment
• C)Fast entry, low risk and low cost
• D)Established manufacturing operations in the foreign country
• E)Negligible chances of licensee becoming a competitor

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Definitions:

Industrial Revolution

A period of major industrialization that took place during the late 1700s and early 1800s, transforming agriculture-based societies into industrialized and urban ones.

Raw Materials

Basic materials that are used in the production of goods, finished products, or intermediate materials that are feedstock for future finished products.

Cheap Labor

The employment of workers at wages that are considered lower than the norm for their industry or region.

Regionalization

Regionalization is the division of the world into different and often competing economic, political, and cultural areas.