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Question
Which of the following is true of licensing as a mode of entry into foreign markets?
A. The licensor grants the rights to tangible property to a licensee.
B. A licensing agreement grants rights to intangible property to a licensee for an unspecified period.
C. The licensee puts up most of the capital necessary to get the overseas operation operational.
D. The licensor bears the development costs and risks associated with opening a foreign market.
E. A licensing agreement allows a licensor to maintain control over its technological know-how.
Answer
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