Question

Quentin operates an ice cream franchise which has shops throughout the United States. CoolCream Co., the franchisor, supplies the ingredients and formula so that Quentin can create the ice cream in his store and sell it fresh to customers. This relationship is known as a:

A. chain-style business operation.
B. joint development enterprise.
C. manufacturing or processing-plant arrangement.
D. distributorship.

Answer 1

Answer:

C. manufacturing or processing-plant arrangement.

Explanation:

According to my research on the different types of relationships between companies and their manufacturers, I can say that based on the information provided within the question this relationship is known as a manufacturing or processing-plant arrangement. Which is basically (liked described in the question) when a franchiser provides the individual stores with the ingredients necessary to run the store.

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