Business owner's definition of franchising

The business owner's definition is the most important definition to both the franchisor and franchisee, because if the franchise entity doesn't succeed, any legal statutory requirements are a moot point. The business owner's definition of franchising is as follows:

Franchising is a method of market expansion utilized by a successful business entity wanting to expand its distribution of services or products through retail entitities owned by independent operators using the trademarks or service marks, marketing techniques, and controls of the expanding business entity in return for the payment of fees and royalties from the retail outlet.

Essentially, the franchise is a substitute for the franchisor's company-owned office in the retail distribution of the franchisor's services or products. The success or failure of one party to this unique relationship generally determines the success or failure of the other party. If the franchisor and franchisee keep this business relationship definition in mind, the self-centered attitudes that appear to arise under the legal definition can be avoided.