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Chen Is a Franchisee of a Local Retail Shop

Question 46

Multiple Choice

Chen is a franchisee of a local retail shop. One of his chief concerns regarding owning a franchise is that


A) the franchising agreement is too restrictive.
B) the franchisor provides him with a wide range of support.
C) the franchise has the benefit of name recognition.
D) the franchisor can negotiate better deals on ingredients, supplies, and real estate, because of its financial strength.

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