Motivations and risks in international licensing: a review and implications for licensing to transitional and emerging economies |
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| Affiliation: | 1. School of Management and Economics, University of Electronic Science and Technology of China, Chengdu, 611731, China;2. Birmingham Business School, University of Birmingham, Birmingham, B15 2TT, W Midlands, U.K;1. ISCTE Business School, University Institute of Lisbon, Avenida das Forças Armadas, 1649-026, Lisbon, Portugal;2. ISCTE Business School, BRU-IUL, University Institute of Lisbon, Avenida das Forças Armadas, 1649-026 Lisbon, Portugal;3. Fogelman College of Business and Economics, University of Memphis, Memphis, TN 38152-3120, USA;4. NECE Research Unit, University of Beira Interior, Estrada do Sineiro, 6200-209 Covilhã, Portugal;1. Department of Economics, Stony Brook University, Stony Brook, USA;2. The Interdisciplinary Center, Herzliya, Israel;3. School of Mathematical Sciences, Tel Aviv University, Israel;1. School of Business and Economics, Loughborough University, Loughborough, Leicestershire, LE11 3TU, United Kingdom;2. Lappeenranta University of Technology, Lappeenranta, Finland;3. Department of International Business, National Chengchi University, Taiwan;4. KNUST School of Business, Kwame Nkrumah University of Science and Technology, Accra Road, Kumasi, Ghana;5. Strathmore Business School, Ole Sangale Road, Nairobi City, Kenya;6. The University of Sydney Business School, H70, Abercrombie St & Codrington St, Darlington, NSW 2006, Australia |
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| Abstract: | In the light of changes in technology and today’s global business environment, recent contributions in the literature regarding international licensing, particularly the reasons, risks, and management of licensing are reviewed. The main reasons that firms choose licensing over other methods of international market entry are examined, and the risks associated with licensing are synthesized and updated, along with perspectives on managing those risks. Finally, areas are suggested for further inquiry that may help to enrich this field of study. Throughout, particular attention is paid to the issues of international licensing that affect emerging and transitional economies, particularly from the perspective of small firms. |
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