What is the name for the firm whose products are sold to customers by the franchisee?

Study for the UofT MGT100 Fundamentals of Management Exam. Practice with quizzes and detailed study materials to excel. Prepare with clear explanations and valuable tips to ace your exam!

The correct answer is the franchisor, as this term refers to the company that owns the rights to a particular product or brand and provides the franchisee with the ability to sell its products or services. The franchisor typically provides the franchisee with support, training, and a standardized business model, which helps maintain brand consistency and operational efficiency across various locations.

The franchisor is a crucial part of the franchise relationship, as they establish the framework and guidelines that the franchisee must follow. This structure benefits both parties: the franchisor expands its brand presence and market reach, while the franchisee benefits from the established brand reputation and support from the franchisor.

In this context, the other options do not align with the definition of the firm that sells products through a franchisee. For instance, a franchisee is an individual or entity that operates a franchise under the franchisor's brand, but does not own the brand itself. A corporation is a legal entity that can own businesses, but it does not specifically refer to a franchising arrangement. Similarly, a partnership refers to a business arrangement where two or more individuals share ownership, profits, and liabilities, which is unrelated to the franchisor-franchisee relationship.

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