Licensing enables schools and teams to generate brand recognition and interest and to increase revenues with little financial risk. For licensees, use of the established images and popularity of sport teams can boost sales. Licensees assume the financial risk by manufacturing the product and then paying a fee to the licensor for the use of specific trademarks on specific products.

Question

Quizplus · Accepted Answer

This statement correctly describes the benefits of licensing for both schools/teams (increased brand recognition and revenue) and licensees (boost in sales), as well as the financial arrangement between the two parties.

Licensing Enables Schools and Teams to Generate Brand Recognition and Interest