Skip to Main Content
International Business: The New Realities, 5th Edition
book

International Business: The New Realities, 5th Edition

by S. Tamer Cavusgil, Gary Knight, John R. Riesenberger
January 2019
Intermediate to advanced content levelIntermediate to advanced
576 pages
33h 19m
English
Pearson
Content preview from International Business: The New Realities, 5th Edition

Contractual Entry Strategies

  1. 15.1 Explain contractual entry strategies.

Two common types of contractual entry strategies are licensing and franchising. Licensing is an arrangement by which the owner of intellectual property grants another firm the right to use that property for a specific time period in exchange for royalties or other compensation. As described in the opening case, a royalty is a fee paid periodically to compensate a licensor for the temporary use of its intellectual property. The royalty is usually a percentage of the gross sales generated from use of the licensed asset. As an entry strategy, licensing requires neither substantial capital investment nor extensive involvement of the licensor in the foreign market. Licensing ...

Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Start your free trial

You might also like

Fundamentals of International Business

Fundamentals of International Business

Sumati Varma

Publisher Resources

ISBN: 9780136763017