Which of the following is true of franchising?

Which of the following is true of franchising?



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

B. The franchisee provides market knowledge, capital, and personal involvement in management.

C. Foreign laws and regulations are usually hostile toward franchising.

D. It is an important form of horizontal market integration.

E. The franchiser has little control on marketing of the products at the point of final sale.


Answer: The franchisee provides market knowledge, capital, and personal involvement in management.


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