Question

What are the primary advantages to owning a franchise?

Answer 1

Answer:

Explanation:

Owning a franchise has the following main advantages:

1) A franchise owner gets valuable help throughout the lifespan of the business. Upon acquiring a franchise, the business owner receives a continuous training and assistance necessary for marketing and management.

2) Owning a franchise comes with a low rate of failure. A franchise comes with an established business concept that is already successful in the market which assures the owner of better chances of success compared to starting up an independent business.

Answer 2

Answer:

There are several benefits and advantage of owning a franchise, but the most important one is that you are your own boss. If you are a entrepreneur and don't wish to work for someone else anymore, then a franchise is a good choice.

Other benefits include:

• You don't need experience in that specific industry, when you purchase a franchise you acquire the franchiser's know-how.
• Franchises have a large customer base and brand recognition. Imagine you are Mexico City and you have to choose between eating at Burger King or "El Rey del Burger".
• Having a large customer base and brand recognition also comes with a lower business risk. Franchises are safer investments than new companies. Besides you have all the know-how and experience of hundreds or thousands of similar businesses.
• Many times you can lower your costs because franchises have a large collective buying power. Imagine how much it would cost a local restaurant to purchase the same toys McDonald's gives in its happy meals.