Which of the Following Statements Is True About Licensing and Franchising

question 26

Multiple Choice

 Which of the following statements is true about licensing and franchising?

• A) They involve setting up a fully operational, independent entity in a foreign country to conduct business.
• B) Unlike franchising, licensing is used by service firms such as hotels and fast-food chains.
• C) Like franchising, licensing is a high-cost means of market entry.
• D) The most important risk involved with licensing is the potential loss of proprietary advantage.

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Definitions:

Racial Distinctions

The categorization of individuals based on race, often leading to differential treatment and societal perceptions based on those classifications.

African Americans

A racial or ethnic group in the United States with ancestry from any of the black racial groups of Africa.

Hollywood Films

Movies produced by the major film studios located in the Hollywood district of Los Angeles, known globally for their large-scale production and distribution.

Religion

A social-cultural system of designated behaviors, practices, morals, worldviews, texts, sanctified places, prophecies, ethics, or organizations, that relates humanity to supernatural, transcendental, or spiritual elements.