Pizzerias: Franchise Standards

Franchise pizzerias dominate American pizza. A franchise is a license that grants to one person (the franchisee) the right to own and operate the franchisor’s business and sell the franchisor’s brand-name product in a limited geographical area. This territorial limit protects the franchisee from competition within the defined market. The franchisee also obtains the right to operate a facility with the brand owner’s distinctive design and signage. The owner helps the franchisee in the operation of the business and usually enforces standards of quality. Thus, franchise products appear to be uniform regardless of who actually makes them or where they are purchased.