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A franchise is a business model that allows a person or company to sell a well-known brand name, product, or service in a specific region or country as an independent business unit. Franchises often include reputable and well-known brands such as restaurants, stores, service systems, and the like. In a franchise transaction, the brand owner (franchisor) allows the franchisee to use the brand's name and trademarks, as well as methods. and specific business standards to govern the business. In other words, franchise is a method of business cooperation that allows the franchisee to take advantage of the recognition of the famous brand and its business structure and to act as an independent unit in the market. On the other hand, the franchisee usually pays the franchisor certain costs as franchise fee and operating expenses. Franchising is a win-win game. On the one hand, the brand does not need to pay a lot of money to expand its activity after gaining a good reputation among the audience. The reason is simple. Let's go back to the example of McDonald's. If this brand were to establish a large number of branches in every country and every city, it would probably have to consider a very high cost. Another issue was the management discussion that managing this number of branches around the world is not an easy task. Therefore, the best method for the franchise brand is to increase the number of its branches and become more known, and on the other hand, it does not need to spend a lot. But people who use franchise and use McDonald's points have also won. Again, the reason is simple, when all people around the world know the reputation of McDonald's, so they trust it and prefer to buy from these restaurants than restaurants that do not have a special name and brand. Therefore, setting up a McDonald's branch provides you with the possibility of getting more customers.
The important difference between the right of representation and the franchise lies in the relationship between the two parties:
The right of representation:
1. In the right of representation, a company (representative) acts as an independent agent for another company (representative).
2. The representative is allowed to offer the products or services of the representative company to customers in a specific area under his name and brand. 3. The agent is generally in full control of its own activities, making pricing and management decisions and acting only as an agent of the agent company's products.
Franchise:
1. In a franchise, the franchisor company allows another company (the franchisee) to use its brand name, products, services, and systems as an independent business entity.
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| Company | موسسه توسعه طلایی |
|---|---|
| Tel | +98 31-3×××0467, +98 31-3×××0468 |
| Mobile | +98 902×××4010 |
| Website | https://goldendevelopment.ir/ |
| Country | Iran |
| Province | Esfahan |
| Address | ایران- اصفهان- سیتی سنتر سپاهان شهر طبقه سوم- واحد A3-42 |
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