Quality is so important in franchising that most franchisors retain the right to terminate the franchise contract and to repurchase the outlet if a franchisee fails to maintain quality standards.

Question

Quizplus · Accepted Answer

Quality is a crucial aspect of franchising, primarily because the franchisor's reputation relies on how well franchisees maintain the brand's standards. Therefore, most franchisors include clauses in the franchise agreement that allows them to terminate the contract or repurchase the outlet if the franchisee fails to maintain quality standards. This ensures that the franchise's reputation and image are sustained consistently across all outlets.

Quality Is So Important in Franchising That Most Franchisors Retain