This essay focuses on differences between Franchising and Licensing. Describe a situation in which Licensing may be a more appropriate relationship than Franchising, and why.
What are the differences between Franchising and Licensing from a business perspective? Describe a situation in which Licensing may be a more appropriate relationship than Franchising, and why.
Many people, when they think of franchising, focus first on the law. While the law is certainly important, it is not the central thing to understand about franchising. At its core, franchising is about the franchisor’s brand value, how the franchisor supports its franchisees, how the franchisee meets its obligations to deliver the products and services to the system’s brand standards and most importantly – franchising is about the relationship that the franchisor has with its franchisees.
Franchising Is About Brands
A franchisor’s brand is its most valuable asset and consumers decide which business
Franchisees often form an association in order to represent their positions with the Franchisor. List and comprehensively discuss 3 Franchisee positions that are typically the most contentious in the Franchisor/Franchisee relationship.
The control of quality and the ability to sanction or terminate a Franchisee in the event the Franchisee is not maintaining the quality level of a Franchise may be critical to the success of the Franchise. List and comprehensively discuss 3 of the methods that are most often used by the Franchisor to accomplish this.
Select the most important attribute a Franchisee must possess in order to be successful as the owner/operator of a Franchise. Defend why you chose this as the most important.