Franchises Flashcards
1
Q
What is a franchise
A
The right to sell another firms products with a fee
2
Q
What are the names of people involved with a franchise
A
Franchisor - product manufacturers
Franchisees - firms selling the products
3
Q
What are branded franchises
A
franchisee buys the right to trade under the same name as the franchisor and pays them a percentage of the profit
4
Q
Advantages to franchising
A
The right to sell an established product - less risk or failing
Wider marketing
Provided training
5
Q
Disadvantages to franchising
A
Not allowed to personalise anything
Follow franchisors rules
