Which of the Following Statements Is True About International Franchisors

question 80

Multiple Choice

Which of the following statements is true about international franchisors?

• A)Entry into numerous foreign markets is tough and costly.
• B)Maintaining control over franchisees is seldom difficult.
• C)Franchisors need to invest substantial capital.
• D)Franchisees may use franchise knowledge to start a competing business.

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Definitions:

Foreign Corrupt Practices Act

A U.S. law that prohibits companies and their employees from bribing foreign officials to gain a business advantage.

Fifth Amendment

An amendment to the U.S. Constitution protecting individuals from self-incrimination, double jeopardy, and ensuring due process of law.

Self-Incrimination

The act of implicating oneself in a crime or sharing information that could lead to one's own criminal prosecution.

Computer Fraud and Abuse Act

U.S. legislation that prohibits unauthorized access to computers and networks, designed to protect against hacking and other forms of cybercrime.