Which of the Following Is a Disadvantage of Franchising

question 35

Multiple Choice

Which of the following is a disadvantage of franchising?

• A) It restricts the franchisor from expanding.
• B) It results in the franchisor taking all the financial burden of the franchisees.
• C) It results in the delegation of authority to franchisees, and the franchisor may not enjoy complete control.
• D) It does not provide enough incentive to the franchisees to run operations effectively because franchisees are not entrepreneurs.
• E) It requires the franchisees to create a new business model and plan strategies.

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Definitions:

Broadcasting Regulations

Rules and standards implemented by governments and regulatory bodies to govern the content, licensing, and operation of television and radio stations and services.

Canadian Talent

Individuals from Canada who possess notable skills or abilities, particularly in entertainment, sports, or other fields that require specific aptitudes.

Conditional Acceptance

A response to an offer in contract law whereby the acceptor agrees to the offer's terms subject to certain conditions or modifications.

Contractual Obligations

Legally binding promises or duties agreed upon by parties within a contract, necessitating performance or restraint from certain actions.