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ETP Assignment 5 Semester 2

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ETP3702
Assignment 5 Semester 2 2024

Read the case study below and answer all the questions that follow.

Case study: ANAT, franchising made your way If you are looking for shwarma, falafel or
a laffa (wrap), then the best can be found only at ANAT. ANAT's history goes back to
the mid-1900s. ANAT’s grandfather started the falafel and shwarma family business in
1945 and two generations later it’s still growing. Together with ANAT’s appetising and
appealing meat rotisseries and its ‘make it your way’ concept,you choose how you want
your meal from only the freshest ingredients that are also healthy and wholesome.

When selecting a franchisee to become part of the ANAT family, ANAT looks more at
the person than at their past achievements. So, although having owned a business
before or having worked in the food industry would be an advantage, it is by no means
the deciding factor. ANAT looks for burning desire to achieve, passion for food,
creativity and innovation, commitment to delivering excellent quality products and
service, an inspired, energetic and strong personality with the ability to manage and
motivate others.

Right from the beginning, ANAT is at its franchisees side. ANAT provides complete
training for you and your staff on all things related to the complete operational
requirements of running an ANAT outlet. ANAT also assists franchisees with selecting
their premises. Once you are up and running, ANAT will provide daily operational,
product, financial and marketing support.

Approval of a franchisee happens by way of an interview to ensure that both parties are
happy. Training and store set-up takes between one and two months, depending on
how quickly the franchisee understands the processes. Included in the set-up cost is a
launch marketing campaign to ensure that break-even point is reached within the first
three months.

Having started from a mobile unit at Bruma Flea Market, to having over 30 stores
throughout the country; ANAT Falafel & Shwarma has certainly made its mark.

, 1.1 ANAT started off as a family business that has remained in the family for two
generations.

What are the FIVE (5) critical steps of a succession plan that ANAT has to be
aware of?

(5)

1.2. Franchising is one form of business licensing that ANAT has taken, and
these forms are often described as franchises. Explain the FOUR (4) forms of
licensing. (4)

1.3. With examples from the case study, explain TWO (2) duties of the franchisor.
(6)

1.4. Discuss THREE (3) advantages of a franchise that an ANAT franchisee should
be aware of. (6)

1.5. Discuss THREE (3) disadvantages of a franchise that ANAT must be aware.
(6)

1.6 The way in which franchisees behave and conduct business can sometimes
affect the franchisor negatively. With evidence from the case study, explain FOUR
(4) things that ANAT looks at when selecting a franchisee. (8)

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