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Enterprise Growth Strategies — Entrepreneurship STD 12 Commerce — Question

CBSE BoardEnglish MediumSTD 12 CommerceEntrepreneurshipEnterprise Growth Strategies5 Marks
Question
Why big brands make head towards for franchising? Explain with an example.
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Answer

  1. The big corporate houses that have opted for a franchise route consider franchising as an easy mode of expansion as per the requirement and commitment level of the franchisor and the franchisees.
  2. It is a powerful and ideal way to expand business, for a company which does not have any capital, manpower or time to build the network of company-owned outlets. Example - Dabur is one of the big established brand that has taken up franchising for expansion.

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