Hobart Pty Ltd has just completed an agreement under which a foreign- owned firm will be given the right to use Hobart Pty Ltd's manufacturing process in return for the payment of a stipulated annual fee. Hobart Pty Ltd is engaged in:
A) joint ownership.
B) management contracting.
C) contract manufacturing.
D) licensing.
E) joint venturing.

Question

Quizplus · Accepted Answer

Hobart Pty Ltd is engaged in licensing, as they are giving the right to use their manufacturing process in return for payment of a fee, without joint ownership or collaboration in management or manufacturing processes.

Hobart Pty Ltd Has Just Completed an Agreement Under Which