A firm desiring to enter a foreign market with a limited investment should consider foreign licensing.

Question

Quizplus · Accepted Answer

Foreign licensing allows a firm to enter a foreign market with limited investment by granting rights to use a company's intellectual property (such as patents, trademarks, or trade secrets) to a foreign entity in exchange for royalties or other forms of compensation. This can be a less risky way for a firm to expand its market presence in a foreign country without incurring the costs and risks associated with establishing a physical presence there.

A Firm Desiring to Enter a Foreign Market with a Limited