can someone explain franchising in leyman terms

does it mean less number of teams from a region, so chances are these few teams will put together the best players from region, like some kind of super team by having more free agents available due to less number of teams from each region? skin bundles for selected teams?

Franchising is making Valorant into leagues like traditional sports

30 orgs join hands with rito because they're rich asf in leagues (masters and champs for ex) so they can reel in views and money and rito will give them incentive to join hands with rito. This way both orgs and rito benefit, players get good income and the game and esports grow