The word 执照 (zhízhào, meaning "license" or "permit") is formed by combining two meaningful characters into a new conceptual unit. The first character, 执 (zhí), carries the core idea of holding, executing, or managing. The second character, 照 (zhào), conveys the idea of illumination, proof, or an official document (as in a certificate). When fused, they create the composite idea of an "official document that proves one holds the authority or permission to do something", perfectly capturing the concept of a license. It is a logical, sense-based compound where the meaning of the whole is directly derived from the combined meanings of its parts.