1. Briefly describe Economic Darwinism.
2. The Wall Street Journal 11 reports that Franchisees, who pay fees and royalties in exchange for using franchisers' business formats, have become much more militant in recent years about what they see as mistreatment by franchisers. In general, Ms. Kezios is seeking federal and state laws to give franchisees more power in franchise arrangements. Among her goals: creating legally pro- tected exclusive territories for franchisees.
How would you expect existing franchisees to react to this proposed regulation? How would you expect a potential new franchisee to react to this proposed regulation?