Franchise (Essay Sample)

Rather than starting a new fresh business, most people would prefer to buy and own a franchise. This business decision is possible with two hundred and fifty dollars to spend. It is important to evaluate the advantages and disadvantages of franchising as a business decision.
One of the major advantages that franchising presents is the close association to products, brands and services of with well-established reputations (Lesonky and Anton 2007). As opposed to starting a fresh business, franchising gives a business owner automatic brand and product association as long properly taken care of for as long as they can maintain the established brand standards.
Another major advantage of franchising is that initial costs and resources for establishing the business are provided by the franchise brand to be acquired. Therefore, help with designing the site, builders and fitters and finally assistance with outlet design and the purchase of required equipment is provided efficiently (Mathews, 2011).
The major disadvantage of franchising is less autonomy in one’s business (Bisio and Kohler, 2008 ). Since the franchise is a well taken care of brand, the manuals used to run similar brands will be used on the acquired franchise. This means that the ability to make independent decision s about one’s business is taken away.
The issue of less autonomy further translates to restricted operating and promoting territory (Seid and Thomas, 2006). This means that the owner of a business is limited in expansion or diversification of their business. It can even go to the extent that the franchise approval for a buyer is necessary (Mathews, 2011). This means that even to sell ones business on...