A company can enter a foreign market through ________,which is a complete form of licensing in which the company offers a complete brand concept and operating system.
A)contract manufacturing
B)cooperative agreement
C)management contract
D)joint venture
E)franchising

Question

Quizplus · Accepted Answer

Franchising is a complete form of licensing, which allows a company to enter into a foreign market by offering a complete brand concept and operating system to local franchisees. In this model, the franchisor provides the franchisee with a complete business model, including trademarks, business methods, supply chains, and marketing strategies. In return, the franchisee pays a fee to the franchisor and agrees to operate their business according to the franchisor's guidelines. Franchising is a popular way for companies to expand globally because it allows them to enter into new markets with minimal investment and risk.

A Company Can Enter a Foreign Market Through ________,Which Is