Licensing Is a Popular Strategy Because

question 193

Multiple Choice

Licensing is a popular strategy because

• A) it boosts domestic market revenues.
• B) the licensee has incentive to work hard and succeed because he/she has borne the cost.
• C) licensees spend little or no money to produce and market their products.
• D) there are seldom any long-term contractual requirements.

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Definitions:

Products and Services

The items and assistance a business offers to meet the needs and desires of consumers.

Voluntary Marketing Exchange

Transactions where both the buyer and seller willingly engage in the trade of goods or services, each expecting to benefit from the exchange.

Product

Any item or service offered by a firm that meets a need or desire of consumers.

Private-Label Brands

Brands developed and marketed by a retailer and available only from that retailer; also called store brands.