To avoid transportation costs and tariffs,Apics Enterprises gave exclusive rights to Svenson AB in Finland to produce its product.What is this an example of?
A) licensing arrangement
B) strategic alliance
C) foreign direct investment
D) independent agent
E) branch office

Question

Quizplus · Accepted Answer

A)In licensing arrangements, firms give foreign companies exclusive rights to manufacture or market their products in that market.

To Avoid Transportation Costs and Tariffs,Apics Enterprises Gave Exclusive Rights