The Most Significant Disadvantage to Franchising as a Means of Acquiring

question 88

Multiple Choice

The most significant disadvantage to franchising as a means of acquiring a business is

• A) the amount of paperwork.
• B) the absence of economies of scale.
• C) high start-up costs.
• D) government regulation.
• E) low break-even points.

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Definitions:

National Labor Union

An early US labor federation, founded in 1866, that aimed to organize workers across different trades to advocate for labor reforms like an eight-hour workday.

Textile Industry

A sector of the economy devoted to the production of yarn, cloth, and clothing, and its various processes.

Shoemakers' Industry

A sector focused on the production and repair of shoes, which historically involved skilled craftsmanship and has evolved with industrialization and globalization.

Economic Depression

A long-term downturn in economic activity characterized by high unemployment, scarce credit, reduced output and investment, and deflation.