A Major Advantage of Franchising from the Perspective of the Franchisor

question 46

Multiple Choice

A major advantage of franchising from the perspective of the franchisor is ________.

• A) franchisor management assistance and troubleshooting
• B) lower operating costs due to shared purchases and advertising
• C) rigid operations standards may limit franchisees from taking advantage of trends
• D) the ability to develop a nationwide distribution system with minimum capital investment

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Definitions:

Pay Increase

An enhancement in the amount of money given to an employee as compensation for their job.

Subordinates

Employees or team members who are lower in rank or position and are typically directed and supervised by higher-ranking personnel.

Subunit Power

The degree of influence and control a subgroup within an organization has over decisions and resources.

Leadership Positions

Roles within an organization or group that involves guiding, directing, and influencing others towards achieving collective goals.