Question

1. The Agreement states that the Franchisee will maintain "high moral and ethical standards and atmosphere." How, as a business owner (franchisee) would you assess this standard? What criteria would be used? Why?

Answer 1

Ans)

The assessment for moral and ethical standard can be done on below parameters :

1. Transparency : There should be complete transparency between franchise and brand. Lack of transparecy creates lack of trust.

2. Doing ethically and morally right thing: Franchise should not involve in any activity which diminishes business ethics or moral responsibility. For Ex : Franchise sharing business details with competition.

3. Abiding by the agreement/process/guidelines set by brand: Franchisee must abide processes and guidelines set for franchise .