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This question is about employer branding.
What is brand licensing?
Brand licensing is the process of leasing the trademark or copyright of a product. A company may create a brand license for a popular product and make it available to other companies to increase its exposure.
The idea of brand licensing only works if a company owns a popular product or has an image or name that is highly recognizable. When this is the case, they can sell or lease the rights to sell or promote a product to other companies.
As a result, these leasing companies can sell or promote these popular products within their stores. The lessor receives compensation from the lessee, who, in turn, profits from the sales of the newly offered product.
Disney is an example of a company practicing brand licensing. They have made available to multiple companies the name, image, and products associated with Star Wars and Marvel to retailers worldwide.
They receive a licensing fee and greater product exposure, while those purchasing the license can offer these two extremely popular product lines.
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