Franchising is an arrangement where franchisor (one party) grants or licenses some rights and authorities to franchisee (another party). Franchising is a well-known marketing strategy for business expansion.
A contractual agreement takes place between Franchisor and Franchisee. Franchisor authorizes franchisee to sell their products, goods, services and give rights to use their trademark and brand name. And these franchisee acts like a dealer.
In return, the franchisee pays a one-time fee or commission to franchisor and some share of revenue. Some advantages to franchisees are they do not have to spend money on training employees, they get to learn about business techniques.
Let us see the opportunities of franchising in India with some examples.
Examples of Franchising in India
McDonald’s
Dominos
KFC
Pizza Hut
Subway
Dunkin’ Donuts
Taco Bell
Baskin Robbins
Burger King