In _____,A Parent Company Grants an Independent Entity the Right

question 55

Multiple Choice

In _____,a parent company grants an independent entity the right to do business in a specified manner that includes the right to sell the parent company's products and use its name,along with its production,preparation,and marketing techniques.

• A) leasing
• B) a joint venture
• C) hire purchasing
• D) franchising

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Definitions:

Foreign Licensing

A business arrangement where a firm allows another business in a different country to produce and sell its products under its brand in exchange for a fee or royalty.

Contract

A legally binding agreement between two or more parties that outlines obligations and rights.

Distribution

The process by which goods or services are made available to consumers through a supply chain.

Export Management Company

A business that acts as an intermediary between domestic manufacturers and foreign buyers, managing the export process.