A Contractual Arrangement Between a Parent Company and an Individual

question 45

Multiple Choice

A contractual arrangement between a parent company and an individual or firm that allows the individual or firm to operate a certain type of business under an established name and according to specific rules is called:

• A)a retailer-sponsored cooperative.
• B)franchising.
• C)a corporate vertical marketing system.
• D)a wholesaler-sponsored voluntary chain.

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Definitions:

Downsizing Strategy

A business strategy involving the reduction of a company's workforce to improve its financial performance or adapt to changed market conditions.

Negative Stock Returns

A situation where the value of a stock decreases over a specified period, resulting in a loss for the investor.

Early Retirement

Early retirement occurs when an individual chooses to exit their professional career and begin their retirement phase before reaching the standard retirement age.

Downsizing

The process of reducing an organization’s workforce to improve efficiency, reduce costs, or adapt to market demands.