Question

Joseph opened a large electronics store called It's Electric to compete against Best Buy. After many years of success, Joseph decides to grant Kim the right to open her own It's Electric location in exchange for a percentage of total sales. In this case, Kim is a(n

Answer 1

According to the point(s) provided in the question, it is clear that Kim is a:

"Franchisee".

Explanation:

A franchisee is a person who is allowed to open up a branded store, or an already set up business, in his locality or arena, with the understanding that the profits that are generated, the franchiser gets certain percent of it.

Other terms and conditions that are implied are that:

• the franchisee has to follow the pattern and procedure of the business include only the brand that the franchiser keeps.

• the infrastructure (the decor of the shop/office or the logo)remains the same as already persisting.

• certain rights are kept with the franchiser.

Thus, as Kim is granted the right to open her store of It's Electric, in exchange for a percentage of total sales, Kim becomes a franchisee for the brand.