Final answer:
It is preferable for products to not carry the licensor's brand name when quality cannot be guaranteed to protect the brand's reputation. Countries may impose higher safety standards on imports to ensure consumer safety and encourage improvements in foreign production.
Step-by-step explanation:
When quality cannot be guaranteed, it is often preferable for products not to carry the licensor's brand name. Brand names are built on a reputation of quality and trust between the brand and its customers. Associating a brand with inconsistent or low-quality products can damage the brand's reputation, leading to a decline in consumer confidence and sales. Therefore, if there is significant uncertainty about the quality of the products, using a different brand name or offering the products unbranded can protect the licensor's primary brand from potential negative backlash.
In terms of imposing higher safety standards on imported goods, it is legitimate for a country to do so if these standards are to ensure the health and safety of its consumers, regardless of the safety standards existing in the exporting country. Countries may have different levels of technology, resources, and legal frameworks, which can lead to variations in safety standards. The imposition of higher standards can also encourage foreign producers to improve their practices, which can lead to overall better quality products in the international market.