Which of the following statements is true of franchising?

Question

Quizplus · Accepted Answer

Franchising is based on a partnership effort between the franchisor and the franchisee. The franchisor provides the brand name, business model, and support, while the franchisee invests in and operates the franchised business. Franchising can apply to both domestic and international markets and can be a scalable growth opportunity, depending on the success of the franchised business. Franchising can be considered as a part of the Timmons Model of entrepreneurship, as it involves the identification and development of an innovative business model.

Which of the Following Statements Is True of Franchising