what is a key characteristic of franchising? course hero

by Pascale West IV 5 min read

What are the advantages of franchising?

Sep 25, 2019 · 19. Which of the following is a characteristic of a franchisor– franchisee relationship? a. Fiduciary obligations b. Duty of good faith c. A limited partnership d. A limited liability partnership. b.

What is franchising?

Sep 17, 2021 · Answer key for final examination Directions. Multiple Choice: Choose the letter of the correct answer. Write your answer on the space provided. _____ 1. A method of expansion that new or established franchises can use to move into new geographical areas and markets. a.International franchising b. Franchising c. Franchise

What is the difference between licensing and franchising?

A ) reduced expenses as the franchisor provides supplies , equipment , and products. B ) minimum initial investments or royalty payments are applicable. C ) use of a well - known , recognizable brand name. D ) franchisee holds much power , …

How many franchisors offer financial assistance to franchisees?

Lesson 5.2 Partnerships and Franchises Key Terms partnership general partnership limited partnership limited liability partnership articles of partnership assets business franchise royalties Academic Vocabulary Complement: to balance, to provide a missing part or element that completes something Professional: doctor, lawyer, accountant, or other person with an …

What is the main characteristic of franchising?

Characteristics of Franchising License: The franchisee gets the right to use, franchiser's trademark under a license. Policies: The franchisee must follow the policies concerning the mode of conducting business, as stated in the agreement.

What are the primary traits of franchisees and franchisors?

Here are the top 10 traits that successful franchise owners possess:Leader / Communicator. Successful franchisees are typically successful leaders. ... Risk-Taker. ... Willingness to Learn. ... Adaptability. ... Thick-Skinned. ... Team Player. ... Financial Aptitude. ... Patience.More items...•

Which of the following is a characteristic of a business format franchise?

Which of the following best describes a business format franchise? It is a broad franchise agreement in which a franchisee pays for the right to use the name, trademark, and production methods of a franchisor.

What is a franchise Class 11?

Well, franchising is a contract based agreement between two parties where one party provides the rights or licenses to another party. Businesses or manufacturers provide these rights to a third party. The party providing the rights is called the franchisor, and the party receiving the rights is called a franchisee.

What are the characteristics of a franchisor?

8 traits of a good franchisorGood communications. Getting across your message to not just your franchise team but your franchisees is crucial so excellent communication skills help.Listening skills. Ensure your communication is not one-sided. ... Consistency. ... Passion. ... Honesty. ... A supportive attitude. ... Flexibility. ... Leadership.

Which characteristic do successful franchise owners have *?

Strong people skills: Successful franchisees always have excellent interpersonal skills and can effectively interact with their employees and customers. They use these skills to create loyalty, value and trust. Though this characteristic is listed last, it's probably the most important of all.

Which of the following is a characteristics of a product trade name franchise?

Which of the following is a characteristic of a product trade-name franchise? it is not open to the public. The franchisee can choose the name of the business. The franchisee has unlimited liability.

Which of the following is an advantage of franchising to the franchisee?

You may find it easier to secure finance for a franchise. It may cost less to buy a franchise than start your own business of the same type. Franchises often have an established reputation and image, proven management and work practices, access to national advertising and ongoing support.

What type of franchise is mcdonalds?

McDonald's is the world's leading global foodservice retailer with over 38,000 locations in over 100 countries. Approximately 93% Of McDonald's restaurants worldwide are owned and operated by independent local business owners.

What franchising means?

A franchise is a joint venture between a franchisor and a franchisee. The franchisor is the original business. It sells the right to use its name and idea. The franchisee buys this right to sell the franchisor's goods or services under an existing business model and trademark.

What is the concept of franchising?

A franchise (or franchising) is a method of distributing products or services involving a franchisor, who establishes the brand's trademark or trade name and a business system, and a franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system.

What is a franchise business definition?

A business franchise is defined by the structure of its ownership. Franchising occurs when the owner of a business grants a license to one or more parties for the purpose of conducting business using the same trademarks, trade names, trade dress, and other identifying aspects of the business.

What are the benefits of franchisees?

1) better opportunity for franchisees to amortize (reduce or extinguish debt) their investment. 2) better chance for a franchisee to sell the outlet if desired. 3) more assurance for the franchisee that the franchisor will not engage in extortion. 4) less incentive for franchisees to cheat and free- ride.

What is multi unit franchising?

definition of multi unit franchising. allows franchisee to open multiple units where they partake less on the day to day activities but allows them to manage all units at a higher level. Mechanisms to control franchisees (6) 1) writing detailed contracts.

What are the lessons of advertising?

2 overall lessons about advertsing. 1) national advertising is important for large chains. - triggers in contracts are smart. 2) local advertising is important when the chain is small and new. Polices can be complementary: diagram.

What is a tap card?

Tap card to see definition 👆. 1) appropriate rules toward ownership of franchised outlets. 2) the right mechanisms to ensure that franchisees act in the best interest of the franchise system. 3) The correct term for a franchise agreement, as well as its possible renewal. 4) The appropriate policies for advertising, both national and local.

What is industrial design?

An industrial design is a logo belonging to an organization whose members use it to identify themselves and associate their products with a level of quality T/F. False. In a licensing agreement, the licensee is both the owner and user of intellectual property T/F. False.

What is Wonder Cat?

Wonder Cat is a popular, new cartoon series created by the U.S-based All Cartoon Channel (ACC). Currently, the only Wonder Cat item available for sale are shirts that are sold exclusively through the ACC Web site.

What is voluntary agreement?

is a voluntary agreement under which two or more people act as co-owners of a business for profit. The nature of work and the work schedule in the animation department of a movie production company differ from that of other departments of the company.

What is a limited partnership?

A limited partnership is different from a limited liability partnership in that, in a limited partnership: only the members with unlimited liability are allowed to manage the firm.