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How Do Restaurant Franchises Work?

How Do Restaurant Franchises Work?

A
restaurant franchise opportunity is the most common type of franchise. In most
of the country it is impossible to drive down a highway without running into
several restaurant franchises along the way. Some of the most common restaurant
franchises are Subway, KFC, Taco Bell, Starbucks, Tim Hortons, Dunkin Donuts,
McDonalds, Burger King, Chick-Fil-A, and Pizza Hut.

A restaurant franchise may be located in its own
buidling, although restaurant franchises can also be located in larger
structures, such as a mall or other kind of shopping center. Sometimes
restaurant franchises may operate togeter, allowing a restaurant franchise
opportunity that is able to obtain the benefits of two different restaurant
franchises under the same roof. However, the combination of different
restaurant franchises is somewhat rare. Frequently, each restaurant franchise
will operate separately.

Sometimes a business owner who has experienced
success with a restaurant franchise will seek to open another restaurant in
order to maximize the restaurant franchise opportunity for profits. A
restaurant franchise opportunity will allow an individual restaurant to benefit
from the restaurant franchise’s national or regional marketing promotions.

In addition to national restaurant franchises, a
restaurant franchise may focus its branches in a specific region. No matter how
much area a restaurant franchise covers, however, restaurant franchises must
make sure that the individual branches do not compete with each other for
customers, either because they are too close together or because of offering
different promotions or prices for the same meals.

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