A business model where a master company grants an independent operator the right to run a business using its trade name and system is:

Explanation

* Franchising involves a franchisor granting a franchisee rights to operate using its brand, business model, and operational support in exchange for royalties.
* Contractual Vertical Marketing Systems heavily rely on franchising models (e.g., McDonald’s, Subway).
* It enables rapid brand expansion with lower capital expenditure for the franchisor.