A retail franchise is a business model where an individual or group (the franchisee) is granted the right to operate a store using the brand and business system of an established company (the franchisor). This arrangement allows franchisees to benefit from the franchisor's brand recognition, marketing support, and operational guidelines, which can lead to a higher chance of success compared to starting an independent business. Franchises can be found in various sectors, including food, clothing, and services. Popular examples of retail franchises include McDonald's, Subway, and 7-Eleven. Franchisees typically pay an initial fee and ongoing royalties to the franchisor in exchange for these benefits.