Final answer:
The correct answer is 'franchises.' A franchise allows new hotel owners to operate under an established brand and system, receiving support from the franchisor, which can be very helpful for those unfamiliar with the hotel business.
Step-by-step explanation:
These new owners knew nothing about the hotel business, so some hired professional hotel managers and operated their hotels as franchises, while others turned management over to a hotel company.
A franchise is a business model where the franchisee purchases the rights to start and operate a business using the franchisor's brand, system, and ongoing support. This can include training, supply chain support, and help in setting up operations. In the context of a hotel, operating as a franchise means providing a consistent experience that aligns with the brand's standards and practices, which can be beneficial for owners who are new to the industry.
By contrast, a sole proprietorship is a business owned and operated by an individual who is personally responsible for all debts and liabilities. A business operated as a partnership involves two or more people sharing ownership and responsibility. Lastly, hotel chains are typically a group or series of hotels under the same brand or management, but not necessarily operated as a franchise.