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Select Service Partner (SSP) Group has operations in 30 countries involving food and beverage establishments, often in transit hubs such as airports and railway stations. SSP also operates Starbucks locations in airports in Finland, Sweden, and Norway. SSP pays Starbucks a royalty based on sales, as well as a fee for each store. In these instances, Starbucks is engaged in ____________.

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michell96

In this situation, Starbucks is engaged in franchising.

Franchising is a business model or method that involves:

  • A big company allowing individual business owners to sell the products of the big company.
  • Individual business owners must only sell the products of the company and use its brand and trademark.
  • Individual business owners need to pay a fee to the company or give a percentage of the revenue.

A good example of franchising is the situation of Starbucks previously described. This is because:

  • Starbucks is allowing Select Service Partner to sell its products, use its brand, etc.
  • In exchange Select Service Partner must pay a fee and give Starbucks a royalty based on sales.

Learn more in: https://brainly.com/question/11540013