Question

Which of the following statements is true about franchising?

Answer 1

Answer:

b. Each franchise outlet is probably a carbon copy of every other outlet.

Explanation:

A franchise business is an arrangement where a popular business owner (franchisor) allows a third party ( franchisee)to start and run an independent outlet similar to the franchisor business. The franchisor licenses the franchisee to use their

1. Brand name and colors,
2. Marketing materials,
3. Operating systems and  design layouts
4. Operating processes and procedures

A franchisee sells similar products at the same price as the franchisor. The franchise outlets have similar looks because of branding, colors, and layout.