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Marco wants to open a sandwich shop near campus. Rather than start the business from scratch, he considers purchasing a franchise from Jersey Mike's Subs. If he decides to purchase the franchise, Marco would be the __________ and Jersey Mike's Subs would be the __________.

A. franchisee; franchiser
B. grantee; grantor
C. general partner; limited partner
D. licensee; licensor
E. franchiser; franchisee

Answer :

A. franchisee; franchiser. Marco wants to open a sandwich shop near campus. Rather than start the business from scratch, he considers purchasing a franchise from Jersey Mike's Subs. If he decides to purchase the franchise, Marco would be the franchisee and Jersey Mike's Subs would be the franchiser.

Marco would be the franchisee, and Jersey Mike's Subs would be the franchiser. The franchiser provides support and services to the franchisee, who pays fees in return.

Marco wants to open a sandwich shop near campus. Rather than start the business from scratch, he considers purchasing a franchise from Jersey Mike's Subs.

A franchisee is someone who purchases the right to operate a business using the franchiser's model, including branding and operational procedures.

The franchiser, in turn, provides training, supply chain support, and other essential services to ensure the franchisee's success.

In return, the franchisee typically pays a franchise fee and ongoing royalty fees to the franchiser.

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