Contract manufacturing is:
A)contracting with a foreign firm to manufacture products according to stated specifications.
B)contracting between a foreign country and a local firm to invest together to create a local business.
C)offering the right to a trademark, patent, trade secret, or similarly valued items of intellectual property in return for a royalty or fee.
D)having a company handle its own exports directly, without intermediaries.

Question

Quizplus · Accepted Answer

Contract manufacturing refers to a business arrangement where a company hires a third-party manufacturer to produce goods according to the buyer's specifications. The manufacturer is responsible for procuring raw materials, assembling the product, and delivering it to the buyer. Often, this involves contracting with a foreign firm to manufacture the products.

Contract Manufacturing Is