Which of the following statements is FALSE?
A) Franchising is most appropriate in fragmented industries.
B) Franchising provides corporate growth with less risk than do mergers and acquisitions.
C) Successful franchising allows transfer of knowledge and skills from the franchisor to the franchisee.
D) Franchising agreements require more trust between firms than do other cooperative strategies.

Question

Quizplus · Accepted Answer

Franchising agreements require less trust between firms than do other cooperative strategies because franchise agreements have legal contracts that outline the terms and conditions of the relationship between the franchisor and franchisee.

Which of the Following Statements Is FALSE