Franchising is a particularly attractive strategy in:
A)fragmented industries
B)emergent industries
C)mature industries
D)monopolised markets

Question

Quizplus · Accepted Answer

Franchising is particularly attractive in fragmented industries because it allows for rapid expansion and market penetration while minimizing risk and capital investment. In fragmented industries, there are many small players with limited market share, creating opportunities for franchisors to expand their brand through franchisees who can capitalize on local market knowledge and relationships. Franchising also provides a way for franchisors to achieve economies of scale and maintain consistency across multiple locations.

Franchising Is a Particularly Attractive Strategy In