It Is Important for Franchisors to Specify Rigid Operations Standards

question 64

Multiple Choice

It is important for franchisors to specify rigid operations standards and to restrict choice of suppliers so that _____.

• A)franchisors can receive operating revenues
• B)financial resource requirements for franchisees can be limited
• C)a uniform image can be presented to customers regardless of location
• D)a professional manager system can be utilized

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Definitions:

Perfect Tender Rule

A principle in commercial law that requires the delivery of goods to be exactly as specified in the contract without any deviation.

Substantial Impairment

A significant reduction or weakening in strength, value, or quality of an asset or entity's ability to perform its intended function.

Nonconforming

Refers to goods that fail to meet the specifications or requirements set forth in a contract.

Perfect Tender Rule

A legal principle requiring sellers to deliver goods to buyers exactly as specified in their contract, with no deviations.