Final answer:
The correct answer is option a. The contractual system known as franchising is based on a unique product or service, business method, or a developed trade name, goodwill, or patent. Franchisees pay for the right to use the franchisor's brand and business model, along with ongoing royalty fees.
Step-by-step explanation:
The contractual system that is characterized by being normally based on a unique product or service, a specific method of doing business, or a trade name, goodwill, or patent that has been developed is known as franchising. In a franchise system, a franchisee purchases the rights to open and operate a business that uses the franchisor's business model and brand. The franchisee benefits from the use of established trademarks, proven business practices, and support from the franchisor. In exchange, the franchisee pays an upfront franchise fee and ongoing royalty fees to the franchisor.
By contrast, licensing involves a company giving permission to another to use a trademark, patent, or technology. A dealership involves an exclusive agreement between a manufacturer and a dealer, which can have legal implications depending on its impact on competition. Lastly, distribution mainly refers to the process of getting goods from the manufacturer to the marketplace.