Question

Luccia's is a restaurant based in illinois that exclusively sells italian food. luccia's sells the rights to its recipes to a british firm, clover trading, which then opens an outlet in london under the luccia's brand name. which kind of channel arrangement does luccia's most likely have wit

Answer 1

A contractual vertical marketing system.

Step-by-step explanation:

A contractual vertical marketing system occurs when separate production and distribution companies use coordinated strategies established through a contract to achieve strategic and economic benefits together.

Retail, wholesale and franchises are the models that most use the contractual vertical marketing system. The greatest benefits added to this system are economies of scale and increased marketing reach.