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Fair practice laws have been designed to protect franchisees from unreasonable _

ID: 422869 • Letter: F

Question

Fair practice laws have been designed to protect franchisees from unreasonable ________ from franchisors.

channel cooperation

channel power

bargaining power

price protection programs

Hotel and motel franchises represent what type of structural arrangement?

manufacturer-retailer

voluntary wholesaler-retailer

cooperative wholesaler-retailer

service sponsor-retailer

channel cooperation

channel power

bargaining power

price protection programs

Hotel and motel franchises represent what type of structural arrangement?

manufacturer-retailer

voluntary wholesaler-retailer

cooperative wholesaler-retailer

service sponsor-retailer

Explanation / Answer

Fair practice laws have been designed to protect franchisees from unreasonable "price protection programs" from franchisors. This type of arrangement is very popular in PC industry.

Hotel and motel franchises represent "service sponsor-retailer" type of strtuctural arrangement. The service sponsor-retailer is a practice in which a service firm (like hotel etc.) licenses to the individual retailers so that they can provide / offer specific service / packages to the customers.