Franchise Operations

question 384

Multiple Choice

Franchise operations:

• A) generally have very loose ties between the franchisor and franchise holders.
• B) are expected to decline in the future because the service sector of the economy is failing.
• C) currently account for about a third of all retail sales.
• D) do not form chains.
• E) None of these alternatives is true.

Assess the role of substitutes and complements in market dynamics.

Evaluate the influence of market interventions (e.g., tariffs) on supply and demand.

Appreciate the implications of market changes on related markets.

Recognize how changes in input costs affect the equilibrium market.

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Definitions:

Entrepreneurships

The act of creating, designing, and running new businesses, often characterized by risk-taking and innovation, in pursuit of opportunity and profit.

IPO Stage

The phase in which a private company becomes a public company by offering its shares to the public for the first time.

Maturity Stage

A phase in the life cycle of a product, business, or industry where growth stabilizes, and sales plateau, often leading to increased competition for market share.

Business Incubators

Entities structured to boost the development and prosperity of start-up businesses by offering a variety of business support tools and services.