Which of the Following Is True of Licensing

question 41

Multiple Choice

Which of the following is true of licensing?

• A) Licensing is most frequently used in service industries.
• B) Licensing refers to a business operation in a foreign country that a firm fully owns.
• C) Under licensing, a firm that grants a license absorbs a lot of costs.
• D) Under licensing, a firm gains complete control over how its technology is used.
• E) Under licensing, the profits of a firm that grants a license are limited to the fees that it collects from the local firm.

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Definitions:

Good Follower

A person who supports and is guided by another person or by a group, showing commitment and adaptability.

Productivity Rate

A measure of the efficiency of production or the amount of output generated per unit of input.

Orders Passively

The act of accepting instructions or commands without question or resistance.

Company's Growth

The increase in size, revenue, or market share of a business.