Question

Yummy donuts, an american company, signs a contract with olivia who will use yummy's secret recipes to produce and sell doughnuts in romania. olivia is required to protect the secrecy of the recipe and to pay yummy donuts a percentage of the income generated by the romanian company. the type of business arrangement olivia and yummy donuts have is most likely:

Answer 1

It sounds like Olivia has a franchise since the donut recipe is the parent company secret and Olivia must pay a percentage of her earnings to that same company so that means she is attached to that company and must abide by its regulations.