Franchisor

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  • Created by: Rachelle
  • Created on: 24-04-13 13:53

Franchisor

Advantages

  • Earns money from selling license
  • Faster expansion, less set-up costs
  • Management is franchisee's responsibility
  • Products sold must be from franchisor

Disadvantages

  • Poor management of one outlet --> spoiled reputation
  • Franchisee keeps profits

Evaluation

Service that it doesn't want to sell to customers directly

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