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O-LevelCommerceBusiness enterpriseMay/June 2012Paper 1 Q371 Mark

What is a disadvantage of a franchise to the franchisee?

AThe franchisee may have a local monopoly in supplying the products or services.
BThe franchisee may only sell products or services approved by the franchisor.
CThe franchisee needs to obtain supplies from independent wholesalers.
DThe franchisee will have to meet all the costs of advertising the product or service.

✓ Correct Answer

The correct answer is B. This question tests the candidate's understanding of business enterprise within the Commercesyllabus. The examiner's mark scheme requires...

📋 Examiner Report & Trap Analysis

Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

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About This O-Level Commerce Question

This multiple-choice question appeared in the Cambridge O-Level Commerce (7100) May/June 2012 examination, Paper 1 Variant 2. It tests the topic of Business enterprise and is worth 1 mark.

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