Subway is a Renowned Franchising Company Research Paper

Subway is a Renowned Franchising Company - Research Paper Example The company has aggressive marketing strategies that have made it penetrate different markets while also diversifying its products.   According to the Subway Franchise offer, qualified franchisees are offered rights to establish and undertake their business operations from a single location. This retail establishment is given an opportunity to prepare and sell foot-long, specialty sandwiches, salads in combination with other foodstuffs. Accordingly, other Subway franchise operations comprise of satellite locations, community development program locations, non-traditional locations, school lunch program locations, national park locations, airport terminal locations, and theme park locations. When determining the best franchise opportunities for any franchise, it is essential that the franchisor’s trademarks, patents and other proprietary techniques and trade secrets are made available (Caffey, 2012). In the same line of argument, in order for Subway franchisees to operate ful ly and profitably the following legal rights must be granted by the franchisor: Trademarks A trademark is a phrase, word, symbol, sound or color that uniquely identifies goods or services from those sold or manufactured by others while also indicating the source of the goods (Caffey, 2012). Franchisees have the right to own and use the trademark of the franchisor; it is the initial grant under the franchise agreement (Caffey, 2012). The franchise outlets use the trademark either painted over the business premise, designed on uniforms and/or on product packaging. It should be noted that whenever the trademark symbol is seen, it gives notice that the owner claims rights in it. Across the US trademarks are regulated by and registered under federal and state laws; the Lanham Act of 1946 regulates how trademarks are created, owned and utilized (Caffey, 2012). Subway Franchisor is in this regard the owner of the licensed trademark and has an obligation under the law to ensure that the mar k is well designed and displayed by all its franchisees. Consequently, no variations in design, color, size or products/services identified with the mark are tolerated and franchise outlets who operate contrary to this restrictions risk losing their operating license (Caffey, 2012). The valuable asset of the franchisor is its trademark; hence using it properly is undoubtedly the most legally protected right among all the rights granted to franchisees. Subway franchisees will benefit from the trademark as it gives the consumers an assurance of consistent quality of goods and services. Nevertheless, the mark will make the franchise be uniquely identified thus attracting more customers (Caffey, 2012).  Ã‚