Question

Wired​ beverages, a producer of energy​ drinks, enters into a contract with a firm in south america in which the south american firm can produce and market its energy drinks in south america. wired beverages will receive a percentage of the south american​ firm's sales of the energy drinks. this is an example of​ _______.

Answer 1

The arrangement of receiving a percentage of energy drink sales of the South American firm is called as a licensing arrangement. The arrangement is legal decision taken between the organizations that give the permit to produce and sell goods and services and these goods may include the patented one too.