Final Answer:
A franchise hotel is a chain hotel run by an independent owner where the chain receives some sort of franchise fee.
Step-by-step explanation:
In the context of hospitality, a franchise hotel operates under the umbrella of a larger hotel chain but is owned and operated independently. The independent owner, known as the franchisee, benefits from the brand recognition, support, and established systems of the hotel chain. The hotel chain, referred to as the franchisor, earns revenue through a franchise fee paid by the franchisee. This fee typically covers the right to use the brand name, access to the chain's reservation system, marketing support, and other benefits provided by the franchisor.
The franchise fee is a key component of the franchising business model, allowing the hotel chain to expand its brand presence without directly owning and managing each individual property. It represents a source of income for the franchisor in exchange for the services and support provided to the franchisee.