SA study of the Factors of Chinese Franchisor's Re-contract

Purpose - The objective of the paper is to explain the factors affecting on the Re-contract intension of franchisor in the uprising Chinese franchise market. Research design, data, methodology - The study conducted a survey on the 400 franchisors data in China from January to July 2012. By AMOS analyzing the data to examine these hypotheses empirically, we can confirm most hypothesis supposed. Results - This study shows that the high management performance and satisfaction of the franchise headquarters has a positive effect on the Re-contract intention of franchise. In the case of large markets such as China, the franchisor's strategy and the role is very important. Conclusions - This study provides franchisors and practitioners, who plan to extend their franchising business abroad into Chinese market, with some practical knowledge. in order to achieve stable profits, the franchise corporation needs to support the operation of the individual franchisee through incentives and standardization of services.