Question

If you could start your own small business franchise, what would it be and why? What are two specific disadvantages you would anticipate encountering as the owner of that small busness or franchise? What is the one thing you think would the most important thing to do in making sure your business was successful and how would you try to achieve it? Be as specific as possible in your response.

Answer 1

Franchising is a continuing business relationship in which a franchisor provides a licensed privilege to the independent people called as franchisees, the right to do business in the market and offers the use trademark or brand name for a prescribed period of time according to certain specifications and in return provides a monetary consideration. If I plan to start a small business I will take the franchise of Costa McDonald. The franchise store of McDonald's can help me in achieving the financial independence by getting on board with global powerhouse that almost can guarantee high degree of success. I chose this company because of its popularity, growth, its ability to continuously remain number one in the fast food industry. It can eliminate a great risk deal that majority of small business owners face like me face such as building and training assistance, financing options, marketing assistance and detailed methodologies that have been proven successful on the front line for years. The disadvantages of running a franchisee would be a little room for creativity. The agreements in franchise dictate how to run the business, thus unlike entrepreneurs franchise may be little room for creativity. Moreover there are numerous restrictions on franchise, the products you sell and the suppliers you use. These restrictions often include the products or services that can be offered, pricing strategy and geographic territory

To make it a success I will make sure that my target aligns with the company's goal to keep their customers happy thus improving my chances of success even further. I can achieve it through quality management, an efficient supply chain with quality product, outstanding services and continuous forecasting. I will offer high quality, outstanding cleanliness, and quality service to my high value customers