Having worked professionally for 10 years,Tom and Kate have decided to start a new franchise.Considering their background,a disadvantage for them becoming franchisees is
A)the restrictions on business operations.
B)unlimited company growth.
C)the expectation to work more than a 40 hour work week.
D)an increase in entrepreneurial independence.

Question

Quizplus · Accepted Answer

Given that Tom and Kate have worked professionally for 10 years, they may be used to running their own operations without restrictions. As franchisees, they will have to adhere to the policies and procedures put in place by the franchisor. This loss of independence could be considered a disadvantage for them. Therefore, option A is the correct answer. Option B is incorrect since unlimited company growth would be an advantage, not a disadvantage. Option C is untrue since there is no expectation for franchisees to work more than 40 hours a week. Option D is also false, as becoming a franchisee would not increase entrepreneurial independence but rather tradeoff independence for the brand recognition and support provided by the franchisor.

Having Worked Professionally for 10 Years,Tom and Kate Have Decided