Bernard and Hope Freeman purchased a Jump and Play franchise in 2013. The indoor inflatable park featured seven inflatables, three party rooms, and a small concession area. There
were 25 Jump and Play franchises across the United States, which were popular
venues for birthdays and team parties. Early on, the Freeman's Jump and Play location performed well,
and party rooms were booked nearly every weekend. However, in 2015 the
Freemans were forced to close their Jump and Play franchise. The Freemans' insurance costs were more
experisive than they anticipated, and competition from
other inflatable parks took a toll on the Freemans' profits. This is an example of how:
O a start-ups have a higher success rate than franchises.
b. a franchise gives owners too much control over the business.
Oc expanding a franchise too quickly can cause failure.
d. owning a franchise does not guarantee success.
O e. the franchise dictates all aspects of the business.