Asked by Gabriella Gonzales on May 18, 2024

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Haute Dogs Inc. sells a franchise to Ilene's Cuisine, a lunch truck. Ilene's Cuisine is

A) a franchisee.
B) a franchisor.
C) a partner.
D) a principal.

Franchisee

An individual or company that is granted the right by a franchisor to operate a business under the franchisor's trademark and business model.

Franchisor

The original or existing business that allows another party (franchisee) to use its trademark and business model.

Lunch Truck

A mobile vehicle equipped to prepare, cook, and sell food, often found at workplaces or public events.

  • Comprehend the legal differences among various forms of business entities, such as individual ownerships, joint ventures, and licensing contracts.
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Verified Answer

JG
jefeson garciaMay 25, 2024
Final Answer :
A
Explanation :
Ilene's Cuisine, by purchasing a franchise from Haute Dogs Inc., becomes a franchisee. This is because a franchisee is the party that buys the right to use a business's trademark or business model.