Fast Food Nation: Chapter Four
“Becoming a franchisee is an odd combination of starting your own business and going to work for someone else” (Schlosser 94).In Eric Schlosser’s Non-fiction book, Fast Food Nation, Schlosser reasons that fast food has widened the gap between the rich and the poor, started an obesity epidemic and propelled American cultural imperialism abroad. While the idea of a franchiser/ franchisee relationship appears to be nothing but beneficial, it has a serious drawback, which is the release/ acceptance of certain issues out of each party’s control. This, in turn causes other companies to try to develop new ways of forming this relationship. Subway, for example uses “Development Agents” to help ease tensions. However due to this, the controversial issue of encroachment emerges. This leaves society asking at what price is success worth it? And how is success measured by these companies?
The franchisee/ franchiser relationship has its benefits, but also one major downside which can cause conflicts and controversies. “At the heart of the franchise agreement is the desire by two parties to make money while avoiding risk” (Schlosser 94). In starting your own business, there is a huge financial risk. Even if you have an amazing idea it takes a lot of well managed money. Becoming a franchisee, though, while still costing a good amount of money, the risk is considerably smaller because the name, advertising and product is already out there. “One provides a brand name, a business plan, expertise, access to equipment and supplies. The other puts up the money and does the work” (Schlosser 94). Franchising makes it easier for companies to expand their market and profit from that. “The relationship has built-in tensions. The franchisor gives up some control while not wholly owning each operation; the franchisee sacrifices a great deal of independence by having to obey the companies rules” (Schlosser 94). When putting that amount of money and work...
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