Question: Select the market entry strategy that best matches the example. A. License B. Franchise C. Joint Venture D. Agency E. Distributorship F. Direct Investment G.

Select the market entry strategy that best matches the example.

A.

License

B.

Franchise

C.

Joint Venture

D.

Agency

E.

Distributorship

F.

Direct Investment

G.

Outsourcing

Jimmys Tomatoes Inc and Bobs Hot Pepper Co., both Canadian companies, have agreed to collaborate on a new pasta sauce. They expect sales to skyrocket so they form Jim-Bobs Spicy Sauce Ltd. They each contribute $10,000 to get the new company running and have agreed that they will share the profits equally.

Jim-Bobs Spicy Sauce is sold to grocery stores in Canada and has been doing quite well. Jim-Bobs Management has decided to expand into the US. They struck an agreement with Suris Sauce Company in New York State. They will ship the pasta sauce by the case (24 jars of sauce per case) to Suris and will charge them US$50 per case. Suris will then sell Jim-Bobs pasta sauce, along with all its other sauces (BBQ, Chili, Sweet & Sour) to New York grocery stores at whatever price Suris determines the market will bear.

Next Jim-Bobs wants to expand to Alaska, but it is too far and too costly to ship the pasta sauce in glass jars. Jim-Bobs management was approached by a local producer in Alaska, Cools Pasta Parlour Inc. They know how popular the Jim-Bobs sauce has gotten and would like to produce the pasta sauce locally in Alaska to sell in their restaurants. Jim-Bobs is very protective of their secret recipe for the pasta sauce, but they agree, for a fee of US$0.50 per jar (minimum of 20,000 jars per year) , that they will provide to Cools Pasta (i) the secret recipe for the pasta sauce and (ii) the labels for the pasta jars that have the Jim-Bob company name and logo with the picture of Jims Nonna (grandmother).

Cools Pasta Parlour Inc. receives a call from a businessperson named Rita Resto, who would like to open a branch of Cools Pasta Parlour in a northern Canadian tourist area. Rita believes that customers would be drawn to a Canadian branch of this popular American restaurant, because it has been recently endorsed by Drake and Justin Beiber. Rita wants her branch to be just like the Alaska restaurants. She wants to serve the same food, use the same dcor and use the same promotional materials.

Jimmys Tomatoes Inc. has had enough with partners and just wants to control all of its own production, sales and marketing, especially as the pasta sauce has gotten so famous and is in demand in every grocery store in Canada and the NorthEastern US. Jimmys decides to open its own manufacturing facility near Boston, Massachusetts and hire its own sales and marketing people to sell Jim-Bobs Pasta Sauce in the US. The new company will be called Jimmys Tomatoes US.

Identify the type of intellectual propery protection ( Trade Secrets, Trademark, Copyright, Industrial Design, Geographical Indication) that best applies to each of the examples.

A.

Copyright

B.

Trade Secrets

C.

Industrial Design

D.

Geographical Indication.

E.

Trademark

Jim- Bob's Spicy Sauce name and logo.

Jim-Bob's glass jar design with tomato ornamentation.

The software that Jim-Bob's management uses to record, track and bill orders.

The Parmigiano- Reggiano cheese in the secret recipe.

Jim-Bob's secret recipe.

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