There are many products sold that bear the Harley-Davidson brand, however Harley-Davidson does not manufacture these products. Instead, Harley-Davidson allows other manufacturers to use its brand name in return for royalties on the sales of these products. Harley-Davidson is apparently employing a strategy.

Brand licencing strategy

Explanation:

Brand licencing strategy is used by the licensor firm to permit or authorize a licencee firm to produce or sell it's product in exchange for royalties. A license is issued to the licensee to authorize them to use the licensor brand name for a period of time.

Licensing means renting or leasing of an intangible asset.

LICENSOR refers to the company who issues the licence, that is the owner of the brand name.

Harley-Davidson is the LICENSOR here permitting other firms to use it's brand name in production.

LICENSEE refers to the firm's who is receiving the licence to use another brand name.

The other fims that uses Harley-Davidson brand name is the licensee.

License is always issued in exchange for ROYALTIES

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