Licensing: The Story Behind 'Being Human' and Its Impact on Mandhana Retail Ventures
My friend recently bought a "Being Human" branded T-Shirt, feeling proud that the entire amount he paid would be used for charity. However, there's more to the story. The "Being Human" brand is owned by The Salman Khan Foundation (‘the Foundation’). The Foundation had a licensing agreement with The Mandhana Retail Ventures Limited (‘the Company’) until March 31, 2020, making the Company its global license partner. We have data from FY 2016-17 to FY 2019-20, during which the Foundation licensed its "Being Human" trademark to the Company. Before diving into what this data reveals, let's first understand the relationship between the Company and the Foundation. A portion of the revenue from apparel sales is paid to the Foundation as a license fee. On average, this fee ranged from 3% to 6% of the revenue. For instance, if the Company sells a T-shirt for Rs.100, approximately Rs.5 (or 5%) is paid to the Foundation as a license fee. This means the Foundat