Most franchisors are highly selective when granting a franchise,which helps explain the lower failure rate.

Question

Quizplus · Accepted Answer

Franchisors have a vested interest in selecting franchisees who have the potential to succeed, as the success of their franchise network is directly tied to the success of each individual franchise location. This selective approach helps to ensure that franchisees are adequately qualified and prepared to run a successful business, ultimately leading to a lower failure rate compared to independent business ventures.

Most Franchisors Are Highly Selective When Granting a Franchise,which Helps