What Is a Disadvantage of Starting a Business Through a Franchise

question 29

Multiple Choice

What is a disadvantage of starting a business through a franchise agreement?

• A) The franchisee does not get management consultation from the parent company.
• B) The franchise agreement may be difficult to terminate.
• C) The venture will have to be built step by step.
• D) The risks of failure are higher for a franchisee compared to an entrepreneur who starts a business from scratch.
• E) The franchisee cannot use trademarks of the parent company.

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Definitions:

Endorphins

Natural, pain-killing substances produced by the body that also contribute to feelings of pleasure and well-being.

Natural Opiates

Are substances derived from the opium poppy plant that have pain-relieving properties, such as morphine and codeine.

Vestibular Sense

Sense that provides information about balance and movement.

Kinesthetic Sense

A sense that detects bodily position, weight, or movement of the muscles, tendons, and joints.