What are the advantages of being a licensing company?
A licensor is able to skip the steps of developing, manufacturing, and selling the products. So, all of the money that licensors make from the products is pure profit, saves time and effort, and is not a marketing gamble. Name at least three benefits of being a licensor. 1.) low risk profits 2.) market expansion 3.) control
What is licensing in business terms?
What is licensing? Allowing another company to use a brand name, patent, or any other item for a fee or royalty. What type of property is the basis for licensing? intellectual property. How is licensing different from branding?
What is the role of the Collegiate Licensing Company?
The Collegiate Licensing Company (CLC) is the trademark licensing affiliate company of IMG College and provides provided licensing services to its member institutions, licensees, retailers and consumers. Define branding. Identify 5 Branding mechanisms.
What is an example of licensing?
Licensing is not the promotion of products by teams/athletes, which is associated with endorsement. Give four different examples of licensors. 1.) sports leagues (NHL for example) 2.) individual teams (Detroit Red Wings for example) 3.) college athletic departments (NCAA for example) 4.) individual athletes (Tiger Woods for example)
What is licensing in business quizlet?
Licensing refers to the authorization that. one business gives to another business, individual or organization which grants one. of the entities permission to use another's. property (e.g., logo) in exchange for a fee.
What is a licensor quizlet?
Licensor. The owner of the licensed marks. You just studied 34 terms!
What is true regarding trade companies?
What is true regarding trading companies? They handle all activities required to move products from one country to another.
When two or more companies often from different countries join together to take on a major project it is called?
Joint venture. A joint venture is a partnership in which two or more companies (often from different countries) join to undertake a major project.
What advantage does licensing have over exporting?
The following are the main advantages and reasons to use international licensing for expanding internationally: Obtain extra income for technical know-how and services. Reach new markets not accessible by export from existing facilities. Quickly expand without much risk and large capital investment.
What is licensing in marketing quizlet?
What is licensing? Allowing another company to use a brand name, patent, or any other item for a fee or royalty.
What are the benefits of trade?
Trade is central to ending global poverty. Countries that are open to international trade tend to grow faster, innovate, improve productivity and provide higher income and more opportunities to their people. Open trade also benefits lower-income households by offering consumers more affordable goods and services.
Which benefit is the result of trade?
Trade promotes economic growth, efficiency, technological progress, and what ultimately matters the most, consumer welfare. By lowering prices and increasing product variety available to consumers, trade especially benefits middle- and lower-income households.
What are the benefits of international business?
What Are the Advantages of International Trade?Increased revenues. ... Decreased competition. ... Longer product lifespan. ... Easier cash-flow management. ... Better risk management. ... Benefiting from currency exchange. ... Access to export financing. ... Disposal of surplus goods.More items...•
What is a major advantage of licensing?
A major advantage of licensing is: very little cost to the licensor. A disadvantage of licensing is: the licensee may decide to use the expertise you have developed, break the agreement, and begin producing the product on his/her own.
What are the advantages to a firm of using licensing as a method of entry in global markets?
The key advantages of using licensing as a method of entry into global markets are: (a) a firm can often gain revenues in a market it would not have generated in its home market; (b) licensees must purchase start-up supplies and consulting services from the licensing firm; and c) licensors spend little or no money to ...
What are the advantages to a company using a joint venture rather than buying or creating its own wholly owned subsidiary when entering a new international market?
Advantages of joint venture increased capacity. sharing of risks and costs (ie liability) with a partner. access to new knowledge and expertise, including specialised staff. access to greater resources, for example, technology and finance.
What is the process of granting a company the right to use another's brand name?
Define Licensing. refers to the process that gives a company the right to use another's brand name, patent, or other intellectual property for a royalty or fee through a written, legal agreement. Define licensor and list 3 examples of Licensors. the company or individual granting the license.
What is the key to higher sales volumes?
Profit - Determine price points that will establish higher profit margins. Promotion - Merchandise does not sell itself. Trained sales staff and effective promotion are the keys to higher sales volumes. Protection - It is important to copyright or trademark all names, logos, or slogans associated with the product.
What are the benefits of a licensee?
If you do, the benefits are enormous. 1. Speed to market. Scaling up is time-consuming and cost-prohibitive. A good potential licensee will have relationships with manufacturers, marketers, and the shelf space you need already in place. Everything you need to get your product to market fast, in other words. 2.
What do I need to start a business?
All you need is a good idea, a little knowledge, and to believe in yourself. You don't have to be rich, have a lot of experience , know the right people , or be able to write a business plan. You do have to hang in there to get good at this. If you do, the benefits are enormous. 1.