Franchise Exam 2023/2024 Graded A+

(T/F) conversation between franchisor and franchisee must be marked by open and honest communication - ANSWER-True (T/F) "mutualism" as a term for the franchise relationship is synonymous with "partnership" and "joint venture" - ANSWER-false (T/F) a thorough evaluation of the prospective franchisee's personality, lifestyle and investment capacity are intrusive and inappropriate in the presale period - ANSWER-false (T/F)state and federal regulations stipulate that you should not have a copy of the franchise agreement until you have signed it - ANSWER-false (T/F)although communication is important after the contract is signed, openness is to be avoided in the presale period - ANSWER-false (T/F)the franchisor's first responsibility is the brand - ANSWER-true (T/F)franchisors should consider establishing a more formal advisory council when they have 30-40 franchisees - ANSWER-true (T/F)the advisory council has final control over the advertising program and operating system of the franchise - ANSWER-false (T/F)task forces are usually ad hoc groups given an assignment over a particular issue, and can be established and disbanded as needed - ANSWER-true (T/F)regional cooperatives are often used in purchasing or advertising programs where franchisees' interests can be determined on a regional basis - ANSWER-true (T/F)a field consultant is the liaison between one franchisee and another - ANSWER-false since the systems annual convention is very costly, regional meetings can be used but may not accomplish all the same goals - ANSWER-true (T/F)presenting information of impending system changes to the advisory council as soon as possible helps in gaining acceptance - ANSWER-true (T/F)conventions near the franchise headquarters can be a concept-affirming event - ANSWER-true (T/F) diversity is not just about minorities and women - ANSWER-true