An arrangement whereby the parent company grants another firm the right to do business in a prescribed manner is referred to as ________.
A) foreign investing
B) exporting
C) licensing
D) franchising

Question

Quizplus · Accepted Answer

D)Franchising is an option whereby the parent company grants another firm the right to do business in a prescribed manner.Licensing is an arrangement whereby an organization grants a foreign firm the right to use intellectual properties such as patents,copyrights,manufacturing processes,or trade names for a specific period of time.

An Arrangement Whereby the Parent Company Grants Another Firm the Right