Franchising is appropriate when a ________.
A) firm's business methods are not polished, it has a desire to grow, and it is trying to commercialize a technology product
B) firm has a strong trademark, a desire to grow, and a well-designed business method
C) firm is trying to commercialize a technology product, it is well-funded, and it has a desire to grow
D) firm has a weak trademark, it is well-funded, and it has a desire to grow
E) firm has a desire to grow, it has a well-designed business method, and it is well funded

Question

Quizplus · Accepted Answer

Franchising is appropriate when a firm has a strong trademark, a desire to grow, and a well-designed business method. This is because franchising involves licensing the rights to use a proven business model and brand name to individual franchisees who operate their own units according to the franchisor's standards. A strong trademark and well-designed business method are essential for successful franchising operations.

Franchising Is Appropriate When a ________