Franchise, primary market" and "secondary markets"

Abstract

A franchise gives the right to the franchisee to operate a business as if it were part of a chain of other stores, while it is owned individually. The advantages to the franchisor are a fast and well controlled distribution of his product, the fact that he does not have to care for constructing and operating its own outlet, a bigger amount of capital for the expansion of production and for advertising, the maintenance of product and quality standards, and a motivated work force of franchisees.