What are Agents?

• A. A legal entity formed for a specific project
• B. Franchisees who deliver services under a franchiser
• C. Individuals/Groups where local knowledge and contact are important (Correct)
• D. Customers who perform core activities

Answer: (C)

Agents are individuals or groups who act on behalf of a company to sell or promote its products or services, using their local knowledge and contacts to access markets. This local knowledge—networks, language, relationships with customers and regulators—helps the principal reach customers that would be hard to reach directly. Agents typically operate under a contract and are paid by commission; they don’t own the goods or run the business themselves. This makes them distinct from a legally separate entity formed for a project, from franchisees who operate under a franchiser’s system, and from customers who are end users.