In franchising, which of the following is not a benefit that the franchisor gains?
A) The franchisor can gain more rapid product distribution.
B) The franchisor can acquire capital more quickly for expanding production.
C) The franchisor gains more control over how the franchisees operate the establishments.
D) The franchisor benefits from the fact that franchisees tend to be highly motivated to succeed, which in turn leads to higher sales and higher royalties.

Question

Quizplus · Accepted Answer

Contrary to popular belief, franchisors do not necessarily acquire more control over how franchisees operate their establishments. Franchisees typically have some degree of independence and autonomy in managing their businesses, as the franchisor's main concern is maintaining consistency in brand image and product quality across all franchise locations.

In Franchising, Which of the Following Is Not a Benefit