Legal analysis: 1. Franchising, also known as franchise operation, means that the franchisor transfers its own trademarks (including service marks), trade names, products, patents and proprietary technologies, business models, etc. The form of a franchise contract is granted to the franchisee. The franchisee shall engage in business activities under the franchisor's unified business model and pay corresponding fees to the franchisor in accordance with the provisions of the contract. 2. Enterprises that have established their own brands in the industry, have relatively mature products, and have their own characteristics in production technology and business models are seeking to expand capital and increase market share. Franchising can help these enterprises introduce various operating resources such as funds from other partners and save the franchisor's own investment to achieve the above purposes. For those businessmen who are starting to start a business or small and medium-sized enterprises that are not yet well-known, through franchising, they can obtain advanced production technology and management experience, produce and operate famous brand products, and can quickly accumulate capital and obtain profits. It is precisely driven by this two-way interaction of interests that franchising has broad room for development.

Legal basis: "Measures for the Administration of Commercial Franchising of the People's Republic of China" Article 2 Commercial franchising refers to the trademark, trade name, business operation that the franchisor will have the right to grant to others by signing a contract. Business resources such as models are granted to the franchisee for use, and the franchisee engages in business activities under a unified business system in accordance with the contract and pays operating fees to the franchisor.