licensing in fashion industry
ESSAY
The Licensing in Fashion Industries.
1.1 What is the meaning of licensing agreement? The verb to license is synonymous of give permission. A licensing agreement is an authorization to use licensed material granted by a party named: Licensor to another party called: Licensee. This is a contract between this two parties.
The purpose of a licensing agreement is the authorized use of the licensor's trademark, by the licensee, specified in the terms of the contract.
We know two different types of licensing based in the use of common trademarks or famous trademarks. The Licensing in fashion industries is based in the use of famous brands such us Armani, Dolce & Gabbana, Prada and other maisons. A license under intellectual property has several components such us:
→ Term
→ Auditing: quality control monitoring
→ Advertising and other costs connected to promotion
→ Exclusivity
→ Termination: Renewal
→ Infringement: Litigation The assignment of a license often depends on specific contractual terms. The licensing agreement is only applicable for a particular geographic region, just for a certain period of time or barely for a stage in the value chain.1
1.2 Advantages of a licensing agreement.
When a society decides to put in place a licensing agreement must assess what are the benefits that will arise from the relationship between Licensor and Licensee.
→ Advantages for Licensor: as in all the contract is important to have a return. A licensing agreement is useful to enlarge the society's geographic market; to decentralize and differentiate the offer in order to reduce the business risks; to increase the recognition, popularity and fame of her core brands, giving the same image of trademark in each store and in all points of sales; financial benefits in primary market due to positive feedback in licensor's products and in secondary market because of royalties in licensee's sales.
→ Advantages for Licensee: industrial benefits in order to
The Licensing in Fashion Industries.
1.1 What is the meaning of licensing agreement? The verb to license is synonymous of give permission. A licensing agreement is an authorization to use licensed material granted by a party named: Licensor to another party called: Licensee. This is a contract between this two parties.
The purpose of a licensing agreement is the authorized use of the licensor's trademark, by the licensee, specified in the terms of the contract.
We know two different types of licensing based in the use of common trademarks or famous trademarks. The Licensing in fashion industries is based in the use of famous brands such us Armani, Dolce & Gabbana, Prada and other maisons. A license under intellectual property has several components such us:
→ Term
→ Auditing: quality control monitoring
→ Advertising and other costs connected to promotion
→ Exclusivity
→ Termination: Renewal
→ Infringement: Litigation The assignment of a license often depends on specific contractual terms. The licensing agreement is only applicable for a particular geographic region, just for a certain period of time or barely for a stage in the value chain.1
1.2 Advantages of a licensing agreement.
When a society decides to put in place a licensing agreement must assess what are the benefits that will arise from the relationship between Licensor and Licensee.
→ Advantages for Licensor: as in all the contract is important to have a return. A licensing agreement is useful to enlarge the society's geographic market; to decentralize and differentiate the offer in order to reduce the business risks; to increase the recognition, popularity and fame of her core brands, giving the same image of trademark in each store and in all points of sales; financial benefits in primary market due to positive feedback in licensor's products and in secondary market because of royalties in licensee's sales.
→ Advantages for Licensee: industrial benefits in order to