A license in the fashion industry provides the needed access to the selling of products without the proper transfer of ownership. This process allows the fashion brand to grow. The article is related to the importance of licensing in the fashion industry and its stimulation towards growth (Brydge and Hracs, 2019). The process of creating appropriate licensing for the entire process of the business allows creating a massive opportunity for the business to get huge income and also allows for the creation of new business opportunities. Following these factors and with the help of licensing potential small and medium fashion brands and business have massively grown over the period of time.

Figure 1: the concept of licensing

@The $ figure represents the amount of money spent on each category.

(Source: licenseglobal, 2022)

Licensing is an essential phenomenon in the fashion industry as this is a sort of agreement that provides big advantages to the brands in exploring their tentative market in a legal manner. Licensing helps in the process of giving full control of the market and plays a crucial role in the business process (Gazzola et al. 2020). According to the graph, licensing helps in the stimulation or any alterations in the entire process of the brand.

Licensing is important as this process assists in the building of more fashion and sales and also paves the way for design-based brands. This process helps in the reduction of risk in the development of the product and also assists in the process of providing market resting aspects. Apart from this, from the standpoint of the licensor, fewer risks are identified in the product development process (Jan et al. 2020). In the same process, the help of licensing also allows for proper access to the process of market testing and distribution of the products.

Apart from this, as a company has sufficient legal backing through the process of licensing, the entire business gains ground in entering the foreign market, too, in an efficient manner (Dicuonzo et al. 2020). Besides this, the whole process of having a licensing under a name helps in the creation of self-employment opportunities, as from a licensing standpoint, there lies an opportunity to get a monopoly over a particular product and service, and also this helps in getting the needed advantages over other firms.

We at BrandTrends help in selecting the right brands for your products. We also help in identifying and driving relationships with potential licensees. For instance, a classic cartoon character on a T-shirt plays a powerful role in the purchase intentions of the customers. We gather data from all around the World which makes us an expert in brand awareness, attitudes, popularity, ownership, and purchase intentions.