Franchising involves a(n)__________ vertical marketing system.
A) cooperative
B) corporate
C) contractual
D) administered
E) conventional

Question

Quizplus · Accepted Answer

Franchising is a contractual vertical marketing system, as it involves a contractual agreement between a franchisor and a franchisee. The franchisor provides the franchisee with a proven business model, training, support, and a license to use their brand and intellectual property, while the franchisee agrees to follow the franchisor's established system and pay ongoing fees.

Franchising Involves A(n)__________ Vertical Marketing System