_____ is a type of alliance where a contract is established between the parent and the individual who actually buys the business unit to sell a given product or conduct business under its trademark.

Question

Quizplus · Accepted Answer

The description given matches the definition of franchising, where a contract is established between the parent company and an individual (the franchisee) who buys the business unit to sell a given product or conduct business under the parent company's trademark. Licensing involves a permission granted by a company for someone to use its product, but there is no transfer of ownership or establishment of a business unit. A merger refers to the combination of two or more companies to form a new entity. An informal alliance does not involve a formal agreement or contract.

_____ Is a Type of Alliance Where a Contract Is