Although licensing is the least costly method of entering a foreign market, its disadvantages include high transportation costs and low control over the marketing and distribution of goods.

Question

Quizplus · Accepted Answer

Licensing involves granting a foreign company the rights to produce and sell one's product in return for a fee, and does not typically involve high transportation costs or issues with control over marketing and distribution, which are more relevant to exporting or foreign direct investment strategies.

Although Licensing Is the Least Costly Method of Entering a Foreign