O-LevelCommerceBusiness enterprise7100/12 · May/June 2022 · Q341 Mark

Salima has savings to start a hairdressing business but she has no business experience. A friend suggests that she should invest in a franchise. Which advantage of operating as a franchise will be most important for Salima?

AIt will be easier for a franchisee to obtain bank finance.

BSome of the start-up costs may be paid by the franchisor.

CThe franchisor may provide suitable premises.

DThe franchisor will provide management training and advice.

✓ Correct answer

D: The franchisor will provide management training and advice.

Oracle Prep sorts past-paper questions by topic, so you can drill Business enterprise and see which topics are most likely to come up next.

Topic: Business enterprise, O-Level Commerce (syllabus 7100). Multiple choice, 1 mark.
Source: O-Level Commerce, May/June 2022 Paper 1 Variant 2, question 34.

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