My Entrepreneurship

   Hello Everyone......., today i will be sharing with you what FRANCHISING is all

about, the meaning of FRANCHISE, FRANCHISOR,FRANCHISEE and the ADVANTAGES AND

DISADVANTAGES OF FRANCHISING.


   FRANCHISE: A franchise is any arrangement in which the owner of trademark,

trade name, and copyright has licensed it to others in selling of goods and services.

FRANCHISOR: A franchisor is one who has the right to grant a franchise.

FRANCHISEE: A franchisee is a person who receives rights to a franchise.

HOW DOES A FRANCHISE WORK?

A franchise works when partners in a franchise agreement are the franchisor, who

then grants the franchise license to the franchisee, who then invests in it.

ADVANTAGES OF FRANCHISING

(a). A proven track record: This is a good benefit of buying a franchise in which the

franchisor has proven that his operation will be successful or can be successful.

(b). Training and Guidance: This is the greatest advantage of buying a franchise, in which the franchisor provides both training and guidance to the franchisee.

DISADVANTAGES OF FRANCHISING

(a). Franchisor Control: This is a situation whereby the company controls the employees activities.

(b). Unfulfilled Promises: This is a situation whereby franchisees have not received all they have been promised and if they try complaining, they risk having their agreement with the

franchisor terminated or not renewed.

ONE EXAMPLE OF A FRANCHISE IN U.S

SUBWAY