As an Amazon Associate I earn from qualifying purchases.

What is Franchise in Marketing? PDF Download

Learn Franchise definition in marketing with explanation to study “What is Franchise”. Study franchise explanation with marketing terms to review marketing course for online MBA programs.

Franchise Definition:

  • A contractual association between a manufacturer, wholesaler, or service organization (a franchisor) and independent businesspeople (franchisees) who buy the right to own and operate one or more units in the franchise system.

    Principles of Marketing by Philip T. Kotler, Gary Armstrong



Franchise Explanation:

An establishment is a kind of permit that a gathering (franchisee) obtains to enable them to approach a business' (franchiser) exclusive learning, procedures, and trademarks so as to enable the gathering to sell an item or give an administration under the business' name. In return for picking up the establishment, the franchisee more often than not pays the franchiser an underlying start-up and yearly permitting expenses. At the point when a business needs to build its piece of the overall industry or increment its geological reach requiring little to no effort, it might make an establishment for its item and brand name. An establishment is a joint endeavor between a franchiser and a franchisee. The franchiser is the first or existing business that offers the privilege to utilize its name and thought. The franchisee is the person who becomes tied up with the first organization by buying the privilege to sell the franchiser's merchandise or administrations under the current plan of action and trademark.

Keep Learning Marketing Explanations

What is Total Customer Value?

All out client worth is the view of what a client is getting from a given item or administration in ...

What is Ethnographic Research?

Ethnographic research market ( EMR) study of market in which companies understand their consumers or clients in terms of social, ...

What is Channel Level?

It is a distribution level among the manufacturer and the end user. Channel level plays an integral role in providing ...

What is Basing-Point Pricing?

Basing point pricing method explains the pricing system in which organization charge the product price in two components. Initially, the ...

What is Intermarket Segmentation (cross-market segmentation)?

During the time spent division (isolating a market into littler gatherings that are comparative in any event one angle and ...

What is Selling Concept?

This is a business concept that leads the organization in three different directions. Its focal precepts solidified during the 1950s. ...