Once a company like Subway has established itself and can show that its business model works, it can offer its trademark or name to other companies or individuals. They pay an initial franchise fee to use the name and a certain percentage of the gross profit or turnover. The franchisee also has to fulfil the franchisor’s Corporate Identity standards, for example, the stores and outlets have to be equipped and fitted in a certain way or the staff may have to wear a special uniform. But the risk for the franchisee is minimized-they are buying a well-know and established brand with tried and tested products or services which consumers can identify with. They know what to expect whether they are in Beijing, Bombay or Boston.