A Major Potential Problem Associated with Franchising for the Franchisor

Multiple Choice

A major potential problem associated with franchising for the franchisor is that _____.

A) money is obtained when goods are delivered,rather than when they are sold
B) franchisees as owners have less incentive to work hard than employees
C) it is difficult to set up and enforce franchise qualifications
D) poorly performing franchises can undermine both consumer and investor confidence