Which of the following statements about operating a U.S.-based franchise in a foreign country is most accurate?
A)U.S.-based franchises are most likely to succeed in a foreign market if they use the same strategies and procedures used by franchises in the United States.
B) There are limited opportunities for U.S.-based franchises to open in foreign countries because, aside from Canada, Mexico, and a small number of European countries, most foreign nations do not allow American-owned franchises to operate within their borders.
C)The operating costs for franchises in foreign countries may be fairly high, but chances for success are quite good, because competition is likely to be less intense and the customer base in many foreign countries is expanding.
D)It is difficult for U.S.-based franchises to succeed in most foreign countries because the low incomes of most households in these

Question

Quizplus · Accepted Answer

While A is not accurate, as strategies and procedures may need to be adapted to fit the foreign market, B is also inaccurate as many foreign countries do allow American-owned franchises. D is also not entirely accurate, as there are many factors that contribute to the success of U.S.-based franchises in foreign countries, not just the incomes of households. C is the most accurate as it acknowledges that operating costs may be high, but also recognizes the potential for success due to less intense competition and expanding customer bases in many foreign markets.

Which of the Following Statements About Operating a U