Rhett spoke with a Korean company that said it might be interested in producing his products in their market. They would pay him a royalty for what they sold and would bear all the start-up expenses of this effort. This Korean company is proposing a(n)
A) subsidiary agreement.
B) joint venture.
C) export trading company.
D) licensing agreement.

Question

Quizplus · Accepted Answer

Licensing is an agreement in which a producer allows a foreign company to produce its products in exchange for royalties.

Rhett Spoke with a Korean Company That Said It Might