Question

Tina designed a new type of handbag that has proven to be very popular. She begins manufacturing these handbags on a large scale and considers her options for setting up a business to market the bags nationwide. She opts for a distributorship franchise, under which she will: a. license distributors to sell her handbags. b. pay for one half of the franchisee's start-up costs. c. avoid certain taxes and fees. d. grant dealers the right to her trade name.

Answer 1

She opts for a distributorship franchise, under which she will license distributors to sell her handbags

Explanation:

The success of the entrepreneur was assisted by retailers and professional sales officers.

Such alliances could promote their goods in new geographical areas, place them in shops that would not even speak to small farmers, and offer useful services such as easy order fulfilment.

Nevertheless, retailers can be as hard to attract as supermarket customers. It needs patience, analysis and hard work to win them over.

In this scenario, Tina wants to sell her designed new type handbag with the help of licensed distributor.