mana 3325 chapter 8 Questions with Detailed
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Graded A+
Quiz: 1) A franchise is a system of distribution in which semi-independent
business owners pay ________ and ________ to a parent company in return
for the right to become identified with its trademark, to sell its product or
services, and often to use its business format and system.
A) a percentage of sales; royalties
B) upfront costs; incremental costs
C) royalties; monthly consulting charges
D) fees; royalties
Ans: D) fees; royalties
Quiz: 2) Franchises total annual sales represent more than ________ and
employ nearly ________ workers in the Unities Sates in more than 300
industries.
A) $17 billion; 17 million
B) $120 billion; 8.2 million
C) $710 billion; 7.8 million
D) $225 billion; 21 million
Ans: C) $710 billion; 7.8 million
Quiz: 3) ________ franchising involves providing the franchisee with a
complete business system, with an established name, the building layout and
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, design, accounting systems, and other elements while ________ franchising
allows the franchisee to use the franchisor's trade name without distributing
the products exclusively under the franchisor's name.
A) Product distribution; trade name
B) Trade name; pure
C) Pure; trade name
D) Pure; product distribution
Ans: C) Pure; trade name
Quiz: 4) McDonald's is an example of a ________ franchise.
A) conversion forms
B) trade name
C) product distribution
D) pure
Ans: D) pure
Quiz: 10) Benefits of involvement in a franchise experience include ________.
A) management training and support
B) brand name appeal and standardization of goods and services
C) national advertising exposure and financial assistance
D) All of the above
Ans: D) All of the above
Quiz: 11) Franchisors generally do which of the following regarding financial
assistance to franchisees?
© 2025 Get it right Stuvia US All rights reserved
Verified Answers (100% Correct Answers) /Already
Graded A+
Quiz: 1) A franchise is a system of distribution in which semi-independent
business owners pay ________ and ________ to a parent company in return
for the right to become identified with its trademark, to sell its product or
services, and often to use its business format and system.
A) a percentage of sales; royalties
B) upfront costs; incremental costs
C) royalties; monthly consulting charges
D) fees; royalties
Ans: D) fees; royalties
Quiz: 2) Franchises total annual sales represent more than ________ and
employ nearly ________ workers in the Unities Sates in more than 300
industries.
A) $17 billion; 17 million
B) $120 billion; 8.2 million
C) $710 billion; 7.8 million
D) $225 billion; 21 million
Ans: C) $710 billion; 7.8 million
Quiz: 3) ________ franchising involves providing the franchisee with a
complete business system, with an established name, the building layout and
© 2025 Get it right Stuvia US All rights reserved
, design, accounting systems, and other elements while ________ franchising
allows the franchisee to use the franchisor's trade name without distributing
the products exclusively under the franchisor's name.
A) Product distribution; trade name
B) Trade name; pure
C) Pure; trade name
D) Pure; product distribution
Ans: C) Pure; trade name
Quiz: 4) McDonald's is an example of a ________ franchise.
A) conversion forms
B) trade name
C) product distribution
D) pure
Ans: D) pure
Quiz: 10) Benefits of involvement in a franchise experience include ________.
A) management training and support
B) brand name appeal and standardization of goods and services
C) national advertising exposure and financial assistance
D) All of the above
Ans: D) All of the above
Quiz: 11) Franchisors generally do which of the following regarding financial
assistance to franchisees?
© 2025 Get it right Stuvia US All rights reserved
