Which Crucial Factor Would Most Likely Mean the Difference Between

question 10

Multiple Choice

Which crucial factor would most likely mean the difference between success and failure for a potential franchise unit?

• A)management practices
• B)owner's knowledge and skill level
• C)location
• D)all of the above are equally important to the success or failure of the franchise.

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Definitions:

Controllable Margin

The portion of profit or income generated by a business or department that can be directly controlled or influenced by management decisions.

Performance Evaluation

The process of assessing the performance of an employee, a department, or an organization against set objectives or criteria.

Profit Centers

Divisions or departments within an organization that are responsible for generating its income.

Management Performance Report

A document that evaluates and summarizes the effectiveness and efficiency of a company's management in achieving corporate objectives.