Coca-Cola allows a Mexican firm to use its name,formula,and brands in return for a royalty.This arrangement is known as
A) exporting.
B) licensing.
C) direct investment.
D) contract manufacturing.
E) a joint venture.

Question

Quizplus · Accepted Answer

Licensing is a trade arrangement in which one company (the licensor)allows another company (the licensee)to use its company name,products,patents,brands,trademarks,raw materials,and/or production processes in exchange for a fee or royalty.

Coca-Cola Allows a Mexican Firm to Use Its Name,formula,and Brands