The most common type of contractual vertical marketing system is a
A) wholesaler.
B) joint venture.
C) licensing arrangement.
D) partnership.
E) franchise.

Question

Quizplus · Accepted Answer

The most common type of contractual vertical marketing system is a franchise. In a franchise, the franchisor grants the franchisee the right to use its business model, brand name, and trademarks, and provides some support and guidance in exchange for a fee. This allows the franchisor to expand its business without the financial risk of opening new locations, while the franchisee benefits from an established brand and business model.

The Most Common Type of Contractual Vertical Marketing System Is