In franchising, an entity or individual granted the right to conduct business according to specified methods and terms of another party is known as a
A)franchisee.
B)franchisor.
C)franchise.
D)licensee.

Question

Quizplus · Accepted Answer

A franchisee is the individual or entity that is granted the right to conduct a business according to the terms and methods specified by the franchisor. The franchisee pays an initial fee and ongoing royalties to the franchisor in exchange for the use of their brand, products or services, and operational systems. Therefore, the franchisee is the one who operates the business and is responsible for its day-to-day operations, while the franchisor provides the necessary support and guidance.

In Franchising, an Entity or Individual Granted the Right to Conduct