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After Years of Phenomenal Growth,many Food Franchisers Are Branching Out

Question 130

Multiple Choice

After years of phenomenal growth,many food franchisers are branching out from traditional single-purpose stores.One of these innovators is Taco Bell.Taco Bell,a division of Yum Brands,is selling its Mexican-style fare at kiosks and movable carts in malls,at the corner gasoline station,on supermarket shelves,even in school-lunch programs.In only a few years,it has more than quintupled its points of access.And it has barely begun its expansion.By the end of the decade,it aims to have 200,000 outlets.Most will be nontraditional,and their success will depend on location and operating efficiency.In one of many moves to create peak operating efficiency,Taco Bell has hired an outside company to cut and slice the lettuce,tomatoes,and onions it uses in the preparation of food.Taco Bell's new direction produces greater convenience for consumers,heightens competition for some established-brand marketers,and creates a potential nightmare for franchisees.
-Refer to Taco Bell.Taco Bell restaurants provide food and service to customers.As a service provider,what does Taco Bell need to do?


A) create tangible service distribution benefits
B) locate faster modes of transportation to offset service production problems
C) consider the problems that may arise as a result of simultaneous production and consumption
D) maintain extensive safety stock

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