Question

an advantage of franchising, from the franchisors point of view, is that franchising helps a venture grow because the franchisees provide the majority of the capital.a. true b. false

Answer 1

The statement 'an advantage of franchising, from the franchisor's point of view, is that franchising helps a venture grow because the franchisees provide the majority of the capital' is true

A franchisor can be described as a person who has many outlets or franchises of a production. There are many franchises for a single brand and the franchisor can either sell the branches to investors or own them on his own.

A venture can grow if franchises are opened for a brand in locations that attract maximum customers. The majority of the capital for the ventures is produced from franchising and hence this is an advantage of franchising. Thus, the above statement is true.

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