Business insights. Баутина И.В - 26 стр.

Buying a franchise is one way of reducing the risk.
You are responsible for knowing the local market for the product but the franchisor
will be doing national marketing and keeping the product and image up to date.
       They can do things that you couldn't dream of as a small business.
Keep your eyes open for marketing campaigns for well-known franchises.
Could a local burger bar negotiate with the latest movie to use its images or give
away model characters with every burger?
The fact that banks are happier to lend to someone who is buying a well-known
franchise rather than someone setting up their own business, shows that the risk is
lower. Banks really don't like risks.
3.
       Running a business that treats 50,000 lawns would be a complex affair.
How many people would you have to employ?
Stephen is aiming at 1,000,000 lawns. Think how complex that will be.
People, offices, vans and lawn movers to maintain, etc...etc...
       By selling franchises, he hands over responsibility for all these things to
franchisees.
He is now in the business of selling franchises and looking after the franchisees.
He only gets a cut of every lawn that Green Thumb looks after but his costs are
much lower than if he ran a huge business that cut lawns itself.
       He has to be sure that the franchisees are reliable. If Green Thumb gets a bad
reputation because people don't turn up to appointments or turn lawns yellow instead
of green, his business will start to wilt.
4.                                              to wilt = слабеть
       It is really a two-way arrangement:
• A franchisor must provide good, reliable support.
If supplies don't turn up when ordered, a local business will be unable to provide a
good service.
If the central business takes its eye off the market and doesn't move with the times,
the local business will be left behind.
• The franchisee must run an efficient business which meet the standards of the big
organisation. There are opportunities to show your flair but in a more secure
environment.
2. Read the text again and complete the headings in the text with these words:
    a. A strategy for growth                       c. Big business
    b. A risky business?                           d. Two-way arrangement

3. Scan-read the text and try to find the equivalents to the following words and
expressions:
Предлагать (выдвигать) идею, главная (центральная) улица, рентабельность
инвестиций, процветающая экономика, передавать полномочия, отвечающий
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