Question

Entrepreneurs who want to open a franchise


buys the rights from the parent company and creates his or her own rules.

buy the rights from the parent company and invest in a location approved by the parent company.

invest in a location and create a business model for the franchise.

invest in a location and develop a trademark for the franchise.

Answer 1

The answer is: buy the rights from the parent company and invest in a location approved by the parent company.

In franchise, the purchaser of the franchise had the right to use the brand of an already successful product and sell their products in their behalf.

To start it, the purchaser need to buy rights from the parent company (usually the rights need to be renewed every year)  and provide the location and equipment according to the parent company's standard. The parent company will provide the employees training and product pricing that can be implemented.

Answer 2

Answer:

buy the rights from the parent company and invest in a location approved by the parent company.

Explanation:

• Franchising is a marketing concept that an organization can adopt by the know-how, procedures, intellectual property, in return the franchisee has to pay certain fees on the agreement s that comply with the obligation as called rights.

• Franchising is an equal form of partnership where the due importance is given to the franchisor over the franchisee who owns the parent company.