Successful Factors Of Subways Business Marketing Essay

A franchise is a legal agreement between franchisers and franchisees that consents use of the franchise’s trademark and trade name or marketing plan

While doing some research I found that a franchise agreement is a binding legal contract that is signed between a franchisor and franchisee. A franchisor is the company owning the rights to grant franchises to franchisees, while a franchisee is a person or entity who is given the right to conduct business by a franchisor or licensor. The most important definition however is that of a franchise which is an authorization granted by the government or company to an individual or group allowing them to carry out certain commercial activities.

Franchising as a method of globalization has lead Subway to seek heights in the international market. However, we conclude that, Subway gives a clear view of its success through various franchising strategies, other businesses can improve their models by changing their plans and organized structure like Subway. Considering Subway as a franchising concept, the advantages rank the disadvantages as more and more Subway restaurants have emerged. According to this, the biggest advantages might be their trademark strength connected to their global marketing and their sophisticated franchise system. The cost in terms of initial start-up fee and on-going costs, as well as the risk transfer can be seen as disadvantages of this system. Even

The first choice of business is the franchise. In a franchise, legal binding agreement is entered into between two firms, the franchisor (the product or service owner) and the franchisee (the firm to market the product or service in a particular location). The franchisee pays a certain sum of money for the right to market this product” (Rubin, 1978, p.224). The franchising is more prevalent in the restaurant industry (Hoffman & Preble, 2003). The two distinct features of this business type include; first, in order to notable service components should

Franchising is a business model that allows companies to rapidly expand their market share. According to Franchise.com (2015), there are three types of franchises: distributorships, trademark licensing, and business format franchises. When two organizations enter into a distributorship, the originating company provides the rights another company to sell their products. An example of a distributorship is when an auto manufacturing company grants rights to a dealership to sell their vehicles (Franchise.com, 2015). Trademark licensing is when one company allows another company to use their trademark (Franchise.com, 2015). The business format franchise authorizes franchisees to sell the parent company’s products and/or services as well as utilize their business model. This type of franchising is the most common and is the type needed to obtain to open a new Cold Stone Creamery.

Franchising is simply a method for expanding a business and distributing goods and distributing goods and services through a licensing relationship. In franchising, franchisors not only specify the products and services that will be offered by the franchisees, but also provide them with an operating system, brand and support. (Franchise.org, 2016)

Introduction Opening up a business such as a franchise can carry many risks, both financially and personally but can also be very rewarding and challenging. Some people make a decent living, some end up rich, then again, plenty of people fail. (MSNMoney, 2014) There are many advantages of owning a franchise. Some advantages are that you have association with a well-established brand, reputation and product or service, access to established standard procedures, operating manuals and stock control systems.

Franchising is defined as “a commercial agreement between a party that owns a trade name or trademark (the franchisor) and party that sells or distributes goods or services using that trade name or trademark (the franchisee) (Kubasek et al., 2015, p. 431). There are key advantages for choosing a franchise when starting a new business. First, there is many times instant brand awareness that is identifiable by potential customers, which you as a new owner do not have to concentrate on building. Secondly, on-going marketing of your business is backed by the power of the established brand, and could be as simple as contributing a fee to a advertising fund that is driven by the franchisor. Thirdly, the Return on Investment (ROI) will most likely be faster as the customers are “ready-made” and eager to buy your product or service. Fourthly, the franchise model provides a built-in support model, both from the franchisor and from other franchisees throughout the region and nation. Lastly, the franchise will provide consistent and extensive training in every aspect of the business (Goldberg, 2015).

Franchising is a well-known business and commerce procedure that brings together the title-holder of recognized merchandise with another business or products. This system is readily used by small businesses and companies to provide as a mean to provide authentication and support for their business by having a brand name of a well-known company associated with it. However like most business entry strategies franchising to has some

What is a Franchise: A franchisee pays an initial fee and a percentage of profit to a franchisor; in return, the franchisee gains the use of a trademark, ongoing support from the franchisor, and the right to use the franchisor's system of doing business and sell its products or services.

Franchises are across the world and their growing. places such as McDonalds,7eleven and Burger king have been around for a while, and will continue until the day the world dies. A franchise is a business relationship in which a franchisor grants a license to use the name of the business calling him the franchisee. To become a Franchise is not an overnight task Capital has to be raised to purchase a franchise. Most franchises can be up to one million dollars or more. After raising capital, a franchise can be purchased, but there are rules and regulations that must be followed. Franchisees have duties and responsibilities they have to account for. Then the franchise agreement that needs to be followed to the letter.

Franchising: it is a relationship in which the owner of the business allocates to independent individuals the right to market and deal out the goods or service, and by using the business’s name for a fixed period of time. ".

1. A Franchise is when a franchisor of a business gives the franchisee of another business the right to supply its product or service under the same brand identity. Specsavers is a very successful franchise for example.

The word "franchising" comes from the old French term defining the right for freedom of conducting any activity, for example, carrying out fairs, the organization of markets, operation of ferries and crossings, the right for hunting, a construction of roads or production of ale. In the Middle Ages kings had such privileges providing franchises on commercial activity of any type possessed.

Opening a franchise requires extensive financial planning through the evaluation of personal finances compared to vital start-up costs. No two franchises incur the same start-up costs, so having a substantial amount of capital available from the beginning is crucial. Franchise costs stem from the desire to open a franchise and the associated target industry. Franchises within the fast food segmentation require food inventory while franchises in the pet care segmentation require pet supply inventory. As a result, franchise entry fees range anywhere from $5,000 to over $5 million. Besides entry fees, franchise owners are required to pay administrative fees for legal and accounting services to