Chen is a franchisee of a local retail shop. One of his chief concerns regarding owning a franchise is that
A) the franchising agreement is too restrictive.
B) the franchisor provides him with a wide range of support.
C) the franchise has the benefit of name recognition.
D) the franchisor can negotiate better deals on ingredients, supplies, and real estate, because of its financial strength.

Question

Quizplus · Accepted Answer

The concern for a franchisee like Chen is often that the franchising agreement can be too restrictive, limiting his ability to make independent business decisions.

Chen Is a Franchisee of a Local Retail Shop