PepsiCo Entered into a Long-Term Contract with a South African

question 38

Multiple Choice

PepsiCo entered into a long-term contract with a South African beverage company. The contract calls for the South African firm to produce and market Pepsi products in the country. PepsiCo will receive royalties on each case of sodas sold. This is an example of

• A) licensing.
• B) a joint venture.
• C) a foreign subsidiary.
• D) foreign direct investment.

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Definitions:

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A strategy or program designed to highlight and deliver the advantages or positive outcomes that a customer can expect from a product or service.

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A combination of techniques, tools, and strategies used during a sales presentation to effectively communicate the value of a product or service to a potential client.

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A straightforward proposal or recommendation given to someone without subtlety or implication.