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Business Studies IGCSEPDF 44
212 pagesrevision 46931
PDF 44
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Chances of business
failure are reduced
The franchisor pays for
advertising
Fewer decisions to make
with an independent
business
The franchisor trains
employees
Banks are often willing to
lend to franchisees
Less independence
Unable to make decisions suiting local
area
Franchisor has the power to withdraw
agreement and can stop use of the
premises
Advantages and Disadvantages of Being a Joint Venture
Advantages
Disadvantages
Sharing of costs
Profits are shared if the project is
successful
Knowledge and experience
can be shared
Risks shared
Conflict in decision-making
Different styles of management
create conflict