Question

As a part of their new business expansion strategies, an Italian company, manufacturing car accessories, licensed a local firm in Kenya for production of car sun shades. After running a successful business for one year, the Kenyan firm manufactured its own car shades with local resources and started selling them at lower rates. This was a violation of the _____ clause in licensing agreements which prohibits the licensee from providing goods or services that are competitive with those supplied by the licensor.
A. granting
B. requirements
C. exclusive dealing
D. technical service

Answer

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