A franchise model is a business strategy where a company (the franchisor) allows individuals or other businesses (franchisees) to operate using its brand, products, and business methods. In exchange, franchisees pay fees and royalties to the franchisor. This model enables rapid expansion and brand recognition while providing franchisees with a proven business framework. Franchising is common in various industries, including fast food, retail, and hospitality. Well-known examples include McDonald's and Subway. Franchisees benefit from established marketing, training, and support, while franchisors gain a wider market presence without directly managing each location.