Which of the Following Is an Advantage of Franchising

question 65

Multiple Choice

Which of the following is an advantage of franchising?

• A)It gives the franchisor the same level of tight control over franchisees as does chaining.
• B)It allows the franchisor to obtain the entire profits made by franchisees.
• C)It is beneficial for franchisees as they do not have to face the challenge of higher capital costs.
• D)It helps the franchisees by relieving them of the responsibility of running operations.
• E)It can help the franchisor expand his or her business rapidly.

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Definitions:

Conspicuous Consumption

The spending of money on and the acquisition of luxury goods and services to publicly display economic power and social status.

Redistributive Networks

Economic systems in which goods are collected from the community and then distributed back to members by a central authority.

Agricultural Life

A lifestyle or society that is primarily based on farming and the cultivation of land for food production.

Fixed Settlements

Communities where people live in permanent structures and maintain continuous residence in the same location over long periods.