Sierra Is Interested in Becoming a Franchise Owner, by Opening

question 188

Multiple Choice

Sierra is interested in becoming a franchise owner, by opening and operating one of 50 Cactus Katie's Grills, a very successful fast food chain specializing in food dishes from the American southwest. Which of the following problems is Sierra most likely to encounter if she agrees to become a franchisee?

• A) High initial costs and fees
• B) Poor name recognition and visibility
• C) Lack of financing
• D) Lack of managerial assistance

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Definitions:

Managing

The process of organizing, planning, leading, and controlling resources and tasks to achieve specific business objectives.

American Economy

The economic system of the United States, characterized by a mixed economy with both private enterprises and government involvement.