What is franchising and credentialing? How are they used by organized crime|My homework helper

Posted: March 7th, 2023

What is franchising and credentialing? How are they used by organized crime? Give examples of these terms in everyday life and be specific. Use sources and even upload pictures if needed to support your examples.

SOLUTION

Franchising refers to a business model in which a franchisor (usually a well-established company) grants the right to use its brand, products, and services to a franchisee (an individual or group of individuals) in exchange for a fee or royalty. The franchisee operates their own business but must adhere to the franchisor’s rules, procedures, and standards. Organized crime groups can use franchising as a way to launder money or sell illegal goods and services. For example, a criminal organization might create a legitimate-looking business, such as a restaurant or a car wash, and offer franchises to individuals who are willing to invest money. The franchisee would then run the business, but the profits would ultimately flow back to the criminal organization.