What Is a Disadvantage of Internationalizing Through Licensing

question 47

Multiple Choice

What is a disadvantage of internationalizing through licensing?

• A) A low-cost avenue for overseas expansion
• B) The licensee may continue to use the know-how even after the contract expires without paying for it
• C) The licensor receives a royalty
• D) Promotion of products to new customers

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Definitions:

Appearance-Reality Tasks

Appearance-reality tasks are tests used in developmental psychology to assess a child's ability to distinguish between what something appears to be and what it really is.

Reasoning

The process of thinking about something in a logical way in order to form a conclusion or judgment.

Verbal Responses

Oral replies or reactions to questions, statements, or situations, conveyed through spoken words.

Causal Event

A causal event is an occurrence that directly influences the outcome of another event, implying a cause-and-effect relationship between two or more events.