Which of the Following Is Not an Advantage of Franchising

question 28

Multiple Choice

Which of the following is not an advantage of franchising for a franchisee?

• A) A franchisee can capitalize on the business experience of others.
• B) When problems arise, a franchisee can obtain guidance and advice from a franchiser.
• C) Franchised outlets are usually more successful than independently owned businesses with respect to long- term survival.
• D) A franchisee can participate in national promotional campaigns sponsored by a franchiser.
• E) A franchisee gains fast and selective product distribution without incurring the high cost of constructing and operating its own outlets.

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Definitions:

Opinion Approach

An approach whereby a salesperson shows that the buyer’s opinion is valued.

SPIN Approach

A sales technique that involves asking Situation, Problem, Implication, and Need-payoff questions to understand a customer's needs and propose solutions.

Prospect's Approval

The process by which a potential buyer signals their agreement or interest in moving forward with a purchase.

Remain Silent

The act of refraining from speaking, often strategically used in negotiations or to prompt another to speak.