Problem:
The president of XYZ Manufacturing Company of Buffalo, New York, comes to `you with a license offer from a company in Osaka, Japan. In return for sharing the company's patents and know-how, the Japanese company will pay a license fee of five percent (5%) of the factory price of all products sold on the U.S. company's license. The President wants your advice. What would you tell him?
Note: Please cite the sources (if any)