Which of the Following Statements Is Incorrect Regarding Product and Trademark

Multiple Choice

Which of the following statements is incorrect regarding product and trademark franchises?

A) Rather than obtaining a royalty or franchise fee, the product and trademark franchisor obtains the majority of its income from selling its products to its dealers or distributors at a markup.
B) Ford Motors establishes product trademark rather than business format franchises.
C) Product trademark franchises are more popular than business format franchises.
D) Product and trademark franchisees are typically permitted to operate in a fairly autonomous manner.
E) A product trademark franchise typically connects a single manufacturer with a network of dealers or distributors.