Question

Under the franchise model, if pods were to engage in dubious/controversial activities, then franchisees might see a decline in business. this is known as

Answer 1

This is known as the coattail effect. It is when the actions or activities of the main branch of a business or the franchise branches would impact the whole business. This is one weakness of a franchise business. since one wrong move from just one small branch would might have a larger impact on the whole name of business.<span />