A. Listen to the first part of the recording. Fill the gaps in this summary.

Date: 2015-10-07; view: 490.

You'll hear a recording of part of a training session for small businessmen or women on the principles and practice of franchising.

Franchising

The franchisor usually supplies:

1. an __________ product or service and a well-known __________ image

2. a __________ manual, showing how the business should be set up and how it must be run

3. help, advice and training in __________ the business

4. continuing advice, training and support during the __________ of franchise

5. the __________ that's required to set up and operate the business

6. __________ of the product, which he will be able to __________ cheaply in __________. This may result in savings or, depending on franchisor's mark-up __________ the franchisee to buying at __________ the market price.

7. local, national and even international __________

b. Now listen to the rest of the recording and answer these questions about it:

1. The questioner points out that…

a) franchisees usually require varying amounts of on-going support.

b) franchisors tend to reduce their on-going support a year after start-up.

c) not all franchisors give the same quality of support.

2. She also points out that, as a franchisee, you must find out…

a) what brand image and support the franchisor is providing.

b) what level of help you will be getting after year or so.

c) what level of help you will get when you start up the franchise.

3. In the case of problems in running the franchise, you need to know:

a) will the franchisor be able to solve all our problems?

b) will the franchisor provide financial support in an emergency?

c) will you be offered regular advice by the franchisor?

4. In his answer , the lecturer points out that the franchisee should find out what help he'll get from the franchisor…

a) in recruiting staff.

b) in training his/her present staff I new skills.

c) in training new staff.

5. You should also find out whether…

a) the franchisor will continue to research and develop the product.

b) the product has been thoroughly researched and developed.

c) the franchisor will charge you a levy for R & D.

6. You need to know whether the franchisor is…

a) continuing to advertise the product.

b) spending as much on advertising as the franchisees are charged.

c) spending enough money on advertising.

7. The lecturer goes on to say that a franchisee ways the franchisor…

a) a substantial capital sum.

b) a monthly fee

c) both a capital sum and a monthly fee .

8. To raise money to pay for a franchise, a franchisee…

a) will probably have a lot of difficulty in getting a bank loan.

b) will probably have little difficulty in getting a bank loan.

c) must have an enormous amount of money in the bank.

9. The franchisor's income from a franchise is calculated on the basis of…

a) the franchisee's net profits.

b) the franchisee's total sales.

c) the franchisee's monthly income from the franchise.

10. If a franchisee wants to sell the franchise to someone else…

a) he must have the franchisor's permission.

b) he must pay the franchisor a substantial commission.

c) he is not allowed to do this. He must sell it back to the franchisor.