Management Contracts Became Popular in the 1970's Because

question 37

Short Answer

Management contracts became popular in the 1970's because:
• Up front fees were minor compared to franchises
• Maintaining quality standards was not required
• Little or no up front financing or equity was required
• Ownership reverted to insurance companies

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Definitions:

Works Council Approach

A method of industrial relations where workers' representatives participate in company management decisions, promoting cooperation between employer and employees.

Substantive Change

A significant alteration affecting the core or essential elements of an entity, policy, or system, distinguishing it from mere superficial or cosmetic modifications.

Increasing Penalties

The process of raising the consequences or punishments for violations of rules, laws, or regulations.

NLRA

The National Labor Relations Act, a foundational statute in United States labor law that protects the rights of employees to organize and negotiate with employers.