That’s from the sellers point of view and doesn’t translate into consumer demand to keep the ventures profitable and have a competitive ROI.
A 100 cheese and tomato sandwich shops are even cheaper and would probably go broke or a paper airplane franchise ...etc
I suppose there is a relationship between profits and the establishment cost however customer demand is king
It could be related - a low franchise cost means a Subway on every corner (there're 3 within a 5 minute driving radius of my home), which increases the chain's brand recognition. Same strategy that Starbucks uses, opening a store on every corner, even to the point where they cannibalize each others' sales. Familiarity has an advertising benefit all on its own.
A 100 cheese and tomato sandwich shops are even cheaper and would probably go broke or a paper airplane franchise ...etc I suppose there is a relationship between profits and the establishment cost however customer demand is king