What is true of franchising?

a. Foreign laws and regulations are usually hostile toward franchising.
b. The franchiser has little control over the marketing of the products at the point of the final sale.
c. It is an important form of horizontal market integration.
d. The franchisee provides market knowledge, capital, and personal involvement in management.
e. It provides an effective blending of skill centralization and operational decentralization.

Question

18-01-2020
Business

contestada

What is true of franchising?

a. Foreign laws and regulations are usually hostile toward franchising.
b. The franchiser has little control over the marketing of the products at the point of the final sale.
c. It is an important form of horizontal market integration.
d. The franchisee provides market knowledge, capital, and personal involvement in management.
e. It provides an effective blending of skill centralization and operational decentralization.

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rejkjavik rejkjavik · Answer 1 · 2020-01-20T05:31:38+01:00

Answer:

e. It provides an effective blending of skill centralization and operational decentralization.

Explanation:

correct option is e

Franchising defined as the relationship between the franchiser and franchisees to market the product of franchiser for a limited period of time.

In this relation, for marketing the product on a large scale, the big brand i.e. franchisor gives authority to franchisees (an independent people) to market the products of the franchisees for a particular time period of time decided between both the parties.