Franchise is a popular form of doing business in the catering industry especially for small to medium entrepreneurs. Suppose you had set up a limited company and successfully became the franchisee of a famous international restaurant chain in Hong Kong.

(a) List the five (5) major types of stakeholders related to your franchise as a company in Hong Kong. Please justify your selection with reasons. (15 marks)

(b) State what are the reasons for a local investor to become a franchisee in the catering industry. (10 marks)