A brand is a brand is a brand...or so it would seem. Purveyors
of fashion understand the allure of a brand in connection with
sales. While knock-offs are ubiquitous and virtually a
religion in the United States, apparel which is branded with a
recognized label has a greater cachè and commands both
prestige and better pricing. The trademark serves not only to
identify the source of the garment but the quality and standards
associated with the trademark. So when a consumer opts to buy
a branded product as opposed to a knock off, there is an implied
guaranty of certain quality standards associated with such a
brand.
Licensing brands and ancillary thereto franchising have become
integral to the growth and breadth of a brand's
expansion. Because of the consumer's understanding, a
licensor who engages in naked licensing can lose its
trademark. A naked license is one in which the licensor does
not retain or enforce quality controls. The reason should be
obvious, if a