A Canadian company has given exclusive rights to a Swiss company to manufacture its products. This is an example of
A) foreign direct investment.
B) a licensing arrangement.
C) a branch office setup.
D) a strategic alliance.
E) an import-export relationship.

Question

Quizplus · Accepted Answer

This is a licensing arrangement, as the Canadian company is granting exclusive rights to manufacture its products to a foreign company for a fee or royalty.

A Canadian Company Has Given Exclusive Rights to a Swiss