The idea of buying a job is an anti-capitalism concept that feeds the economic disaster that Francise Price Gouging perpetrates upon the American Consumer.
Given the unique creative thinking of some experienced business people that can be used in a negavie way is a good example of the history of the business concept of Fracniising.
The public face of the Franchise Business is to provide a pathway to small business ownwers to help them start a business. Help ? The reality is, the franchise practice is to create an Exclusive Commercial Brand, that represents a line of products and / or services and inducing people to pay through the nose for the right to use the brands and work for the businesses that own the Brands.
Franchiser's woke up to greater, vast profit potentials after decades of earning huge profitable businesss operations by price gouging consumers, throurgh their dupes, the Franisees, during the late 1960's.
The Business Model of the Franchise Business before the late 1960'a was to sell an exclusvie sales territory consisting of Counites of Authority within States.
The idea, was to force Franchisee's to build multiple Brand Frachise Stores within the County of Authority. The more stores the Franchisee built, and operated, the more income / profit the Franchisor earned. It worked so well, that the Franchise Business was / is one of the most profitable businesses in terms of historical success, and more recent business history of Business Asset Acquisition Consolodations of American business history.
As Franchisor Brands top exectuvies managed earnings of hundreds of millions of dollars, while they were watching their Francisee's reaping more, and faster business asset growth than they were, these Franchise Business Executives begain to study WHY ?
it didn't take long for them to wake up to the reason their Franchisee's were even more profitable and building financial assets faster than the Franchisor Brands were - the answer was they realized they gave away the store to t heir Franchisee's by authorizing each one to develope multiple location retail stores within the Coutny / or Multi-County Authorized Exclusive Use Sales Territory.
Three unintented consequences resulted from the initial dumb idea to give high consumer population saless territories to Frachisee worker bees.
1. The Franchisee owned the Real Estate and Building all branded stores that they developed. So, the increase of Asset Net Worth of the Franchisee, because of the exclusive brand rights within a huge consumer population sales territory was to the benefit of the Franchisee, not the Franchisor.
2. The Franchisee, became Income Adjusted due to their rapid increase of Net Worth, and personal income earnings, as they grew older, and therefore stopped developing new stores, with the result that the Franchisor then could expect dimminishing future income from undeveloped consumer population sales territories.
3. All of that, also created presssure upon the Franchise Brand Share of Market, becasue new Franchise Brands were entering the same large consumer sales territories of existing Franchise Brand's Retail Stores with the result that more price gouging of consumers helped to cause Franchise Brand Executives to study ways to narrow the Consumer Price Gouging for just their Brand.
Frachisors, invented the ADDRESS LOCATION AUTHORICED SALES TERRITORY THAT INCLUDED A LIMITED NUMBER OF CONSUMERS WITHING THE AREA OF THE FRANCHIEE'S EXCLUSVIE BRAND ADVANTAGE, WHILE AT THE SAME TIME, INCREASING THE COSTS OF THE FRANCHIE AND THE ADVERTISING, FRANCHISE FEE, AND FORCING FRANCHISEE TO LEASE A TRIPLE A REAL ESTATE LOCATION / BUILDING THAT THE FRANCHISOR OWNED, INSTEAD OF ALLOWING THE FRACHISEE TO PURCHASE COMMERCIAL REALI ESTATE UPON WHICH TO BUILD THEIR OWN BUILDING. All of this was accomplished by colluding with Federal Agency Regulators, Lobbyists, Legislators, Lawyers who schemed together to rewrite franchor contracts, to force new, previously not agreed to terms of original franchise contracts so the Franchisor could force the excisting Franchisee Owners out of their more lucrative Franchise Contract, and burden them with a new limiting benefit Franchise Contract, if they chose to stay as a Franchisee.
All of this subtrifuge upon the Franchisee was accomplished by Federal Agencies, Legislators, Lobbyists, and Frahchissor Lawyers under the purposeful deception of Consumer Protection Legislation enacted in the 1970's regulating for the benefit of Frahchisor's their capacities of selling an increaing and more intrusive Frahchise Contracts to eager, uninformed, person's motivated by wanting to cash in on the gold mine of owning a prized single, exclusive frachise brand location store ?