Free Range

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Category: Business and Industry

Date Submitted: 02/08/2015 11:43 PM

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Free Range contracts with a large French food processing company to use Free Range’s formulas, packaging, name, etc. to market and sell Free Range branded products in France.

Franchise.

Franchises are based on a private commercial agreement between the franchisor and the franchisee. The franchisor is the person who owns a trade name or trademark, and the franchisee is the person who sells or distributes the goods using the trade name. This is the method used for marketing goods and services (Jones, 213, p. 228). In this case, Free Range will be the franchisor, and the French company will be the franchisee. The French company will be selling and marketing Free Range’s products in France.

Free Range, Danon, Sealtest, Breakstone, and Maplehurst form a group to build a new cottage cheese processing facility in France and to market and sell Free Range-branded products in Europe.

Joint Venture.

A joint venture is a strategic alliance among two or more organizations that agree to establish and share the ownership of a new business. These are very formal because there is a formal legal agreement that spells out the rights and responsibilities (Jones, 2013, p. 325). This might be reaching as I am having to assume that a formal agreement is in place. I don’t have enough information yet.

Free Range and Danon agree to build a new cottage cheese processing facility in France to market and sell both Free Range and Danon products.

Strategic Alliance.

A strategic alliance is an agreement that commits two or more companies who will share their resources to develop a new business opportunity together (Jones, 2013, p. 322). In this case, Free Range and Danon will be working together to open a new facility, and they will both benefit.

Free Range buys an established French firm, La Fromage Petite, through a combined cash and stock transaction. Free Range plans to produce, market, and sell Free Range, in addition to La Fromage Petite, products in France.

Merger and...