Which of the Following Is not a Benefit of Franchising

question 37

Multiple Choice

Which of the following is not a benefit of franchising to the franchisor?

• A) growth with minimal capital investment
• B) higher marketing and promotional costs
• C) royalties
• D) the minimal number of regulations regarding franchising

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Definitions:

Short-Run Supply Curve

A graphical representation showing the quantity of goods that producers are willing to supply at different prices in the short term, when at least one input is fixed.

Business Owner

An individual or entity that possesses and oversees the operations of a company or enterprise, ensuring its functionality and aiming for its success.

Profitability

The degree to which a business or activity yields profit or financial gain, measured by the ratio of profit to revenues or investment.