Licensee Product Approval

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In licensing and brand industry brands gets licensed out to licensee organizations who will typically be product manufacturers like t-shirt manufacturing organizations who plans to use the brand. Ex: Say a company abc.com that is a t-shirt manufacturer and wants to use a brand which will create higher sense quality and hence forth higher sale. In these cases the price that gets charged to the customer is more than a non-branded t-shirts. The part of the money which the customer pays for getting higher quality in turn forms “Royalty” which the licensee pays to the licensor organization.

Before licensee can start manufacturing a licensee product, licensor and licensee will need to work together to come up the approved design. In some cases there are agents who work on behalf of licensees make the submissions which are handled by Legal & Creative departments before these finally gets approved.

[edit] Typical Process

Most of the times this is done using email/fax where the scanned version of proposed product gets sent to the respective departments of the licensor organizations which process them.