What Are the Disadvantages of Non-Exclusive Licensing?
While non-exclusive licensing has many benefits, it also comes with some drawbacks:
1. Competition: Multiple licensees in the same market might lead to increased competition, potentially driving down prices and profits. 2. Quality Control: Managing and ensuring the quality of the product or technology across multiple licensees can be challenging. 3. Dilution of Brand: The widespread use of the IP might dilute the brand's value and distinctiveness.