Because licensing creates a cooperative arrangement by "lending" strategically important property from one company to another, it eliminates future competition.

Question

Quizplus · Accepted Answer

Licensing does not eliminate future competition as companies may choose to develop their own technology or seek out alternative licensing agreements with other companies. It may limit direct competition in the short term, but it does not completely eradicate competition in the long term.

Because Licensing Creates a Cooperative Arrangement by "Lending" Strategically Important