Final answer:
Claiming that franchising keeps out new competitors is false. Franchising offers advantages but cannot prevent new firms from entering the market and providing competition.
Step-by-step explanation:
One of the benefits of Franchising is that it keeps out new competitors is False. Although franchising provides a number of advantages such as brand recognition, training, and ongoing support, it does not inherently prevent new competitors from entering the market. In a competitive environment, new firms can arise offering better or cheaper products, potentially reducing a franchise's profits or pushing it out of business altogether. Competition encourages innovation and may benefit consumers with improved or less expensive products.