1.

If you will become an entrepreneur someday, what do you prefer licensing or

franchising?

If I will become an entrepreneur, I would like to do franchising because I will

be franchising a certain product which already established its name and reputation
throughout the market. Then franchising would generate sales though it might cost
franchise fee, royalty fee, advertising fee and any other costs related. Franchising
also saves money and time for the entrepreneurs to build and nurture their brand
and be recognized by the consumers. It also gives assurances to entrepreneurs
that there will be consumers who are willing to buy the products due to the brand
already recognized.
2. Give one (1) example of existing business in the Philippines which offers licensing
and franchising. Illustrate the nature and location of the business.

Goldilocks offers franchising to those entrepreneurs who wants to start this

kind of business. Goldilocks also won the 2005 Hall of Fame Award for
Outstanding Filipino Franchise of the Year. Being a franchisee, it is needed to
comply with the agreement of franchisor. The Goldilocks Franchise agreement
grants the franchisee to operate specific Goldilocks store at a single address, for
a period of 8 years. Franchisee agrees to operate the business according to the
established standards of quality, service, cleanliness and customer service of
Goldilocks. He is also expected to do his utmost best to run his store to achieve
the fullest potential of the store with regards to profitability and customer delight.
Goldilocks also grants rights to entrepreneurs which includes the use of
Goldilocks trade name and trademarks, proprietary products, store design,
signage, and use of Goldilocks methods of operation.
Regarding the location of the store, entrepreneurs can propose a site
location, including the initial market study of his proposed site then the business
development department of Goldilocks will assess the site and validate the market
study. They situated the store depending on the customer needs of the market.