If John Deere wished to reach the market in Malaysia but was leery of a direct investment in the country, it might provide a Malaysian operation with the knowledge to produce and market its products in exchange for a commission. This type of arrangement is called

Question

Quizplus · Accepted Answer

Licensing is a business arrangement in which one company gives another company permission to manufacture its product for a specified payment, which is exactly what is described in the scenario. This allows John Deere to enter the Malaysian market without direct investment.

If John Deere Wished to Reach the Market in Malaysia