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Franchising and Licensing Agreements
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What is the primary purpose of a franchising agreement?
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A
To allow the franchisee to sell the franchisor's products or services in a specific territory.
💡 Explanation:
A franchising agreement is a legal contract that grants the franchisee the right to use the franchisor's trademarks, branding, and business model in exchange for a fee. This allows the franchisee to operate a business under the franchisor's name and sell the franchisor's products or services in a specific territory.