Speedy Lube enters into a contract with a foreign company to produce and distribute its products in a specific geographic area.Speedy Lube is involved in _____.
A)foreign licensing
B)countertrade
C)international production
D)direct exporting

Question

Quizplus · Accepted Answer

Speedy Lube is entering into an agreement with a foreign company to produce and distribute its products in a specific geographic area. This type of agreement is known as foreign licensing. Foreign licensing is an arrangement in which a company (the licensor) allows a foreign company (the licensee) to use its intellectual property (such as patents, trademarks, copyrights) in return for a fee or royalty.

Speedy Lube Enters into a Contract with a Foreign Company