Marty's, a clothing company, has a number of outlets that are owned and managed by private individuals. These outlets are allowed to use the brand name and products of the clothing line after paying a fee to Marty's. They also pay a part of their revenues to Marty's. Marty's is an example of a:
A) franchisee
B) bailee
C) franchisor
D) bailer
E) legatee

Question

Quizplus · Accepted Answer

Marty's is a franchisor because it grants licenses to private individuals (franchisees) to operate outlets using its brand name and products in exchange for fees and a share of revenues.

Marty's, a Clothing Company, Has a Number of Outlets That