Allured Cosmetics Co.establishes a contractual agreement with Pure Cosmetics Inc.,a manufacturing firm in the West Coast.According to the contract,Pure Cosmetics can use the manufacturing process and formulas of Allured Cosmetics Co.to produce cosmetics in return for a specific fee.Pure Cosmetics Inc.is bound to sell its products under the trade name of Allured Cosmetics and adhere strictly to its product specifications.This collaborative arrangement is most likely to be classified as _____.

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This is a licensing agreement whereby Allured Cosmetics Co. grants Pure Cosmetics Inc. the right to use their manufacturing process and formulas in exchange for a fee. The products produced by Pure Cosmetics Inc. must be sold under the trade name of Allured Cosmetics, which means Pure Cosmetics Inc. is licensed to use the Allured Cosmetics Co. brand.