Question

Razak's, a popular chain of fast-food restaurants in the Middle East, plans to expand its market in Asia and signs a contract with an Indian firm. The contract allows the firm to set up restaurants with Razak's name and trademark and use the supplies provided by Razak to make its products. Under the contract, the Indian firm is required to adhere to the same cooking procedures and use the same equipment that are used by other outlets of the restaurant. The given scenario exemplifies a _____.

Answer 1

Answer:

C. business format franchise

Explanation:

A business format franchise refers to a franchising arrangement in which the franchisor generates already established business with the franchisee that involves name, trademark so that the franchisee could run the business in an independent manner

Therefore in the given case, the option C is correct and the same is to be considered

And all other options are incorrect