Which of the following is an example of licensing?
A) DMX, an electronics manufacturer, acquires Z-Elex, a start-up firm, and sells all Z-Elex's products under the DMX brand name.
B) Berry, a fruit juice company, uses a well-known cartoon character to promote the company's line of children's products and pays the creator of the cartoon character a fee.
C) XLC, a sporting goods firm, sponsors a number of top athletes in various sports and also hosts the XLC Sporting Achievement Awards.
D) ZetaBike, a bicycle manufacturer, teams up with VitaWater, a sports drink producer, to introduce ZetaVita, an energy drink.
E) Mason's, a retail chain, sells a number of different products from different manufacturers under the brand name Mason's.

Question

Quizplus · Accepted Answer

Licensing involves one company using another company's intellectual property, such as a brand name, trademark, or character, for a fee. Option B describes Berry using a cartoon character created by someone else for a fee, making it an example of licensing. The other options do not involve licensing - A is an acquisition, C is a sponsorship, D is a collaboration, and E is a retailer selling products from various manufacturers under their own brand.

Which of the Following Is an Example of Licensing