• Journal of the Korea Academia-Industrial cooperation Society
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• v.9 no.2
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• pp.523-528
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• 2008

Franchising is a business sector which can be enlarged to a large scale in retailing business. Franchising has expanded its realm of business into realestate business and education business, starting from hospitality business. In franchising, the management of customers is a critical issue, so many franchising companies actively implement the CRM system to improve customer relationship. Therefore, this research focuses on the intention of franchising companies about the implementation of the CRM system. The information system used for managing franchising business is defined as Franchising Information Systems(FIS). In this research, the impact of technological level, educational level and utilization strategy of FIS on the ability of FIS use were analyzed. In addition, the impact of the ability of FIS use on the intention of franchising companies about the implementation of the CRM system was analyzed. The results from the research reveal that the utilization strategy of FIS does not affect the ability of FIS use, but technological level and educational level have an effect on the ability of FIS use. The ability of FIS use has influence on the intention of franchising companies about the implementation of the CRM system.

• Proceedings of the KAIS Fall Conference
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• 2008.05a
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• pp.52-55
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• 2008

프랜차이징 산업에 있어 고객관리는 특히 중요한 이슈이며, 프랜차이즈 기업들은 CRM시스템을 적극적으로 도입하고 있다. 기업은 이러한 프랜차이즈 사업의 관리를 위한 정보시스템을 프랜차이징정보시스템(Franchising Information Systems, FIS)으로 정의하고, FIS의 기술수준, 교육수준, 활용전략이 FIS의 활용 능력에 영향을 미치는 것과 FIS의 활용능력은 CRM구축의도에 영향을 미치는 것에 대해 연구하였다.

• The Korean Journal of Franchise Management
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• v.3 no.2
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• pp.39-54
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• 2012

Franchise system in Korea has been developed in different way compared with American way of franchising based on mutual contract and intellectual property context. Korean franchising is mostly based on product distribution franchise concept rather than business format franchise in which franchisor makes revenue sources from providing their products as much as possible thru group purchasing and logistics rather than receiving royalty. Many franchise enterprises from Korea drive to enter into global franchise market based on the successful performance of Korean way of franchising. Korean enterprises are required to prepare completely for research and survey regarding local culture, custom, way of life and legal matters etc. when entering into global franchise market to gain a substantial performance. CaffeBene recently entered into American franchise business with success, and many other Korean franchise enterprises have a deep interest in proceeding with global franchise business modeling CaffeBene case. There is no Korean franchise enterprise in United Kingdom in which service franchise area in particular with personal service is considered to become a promising and potential franchise business and many people show a great interest in Oriental foods and beverages with well-being trend. Korean franchise enterprises have now access to United Kingdom easier because IT industry including internet of the country have been developed by leaps and bounds since London Olympic in 2012. The purpose of this study is to suggest key success factors and basic strategy such as situation analysis, selecting business format, and marketing strategy for successful launching of franchise business in United Kingdom.

• Journal of Distribution Research
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• v.16 no.3
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• pp.33-75
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• 2011

The ownership structure of a franchise system is determined by the franchisor's strategic choice. A close look at the extant theories and perspectives in economics and management such as resource scarcity theory, agency theory, transaction cost analysis, and mixed ownership theory reveals that firms choose their ownership structure for the sake of economic efficiency, profit potentials, the chance of survival, and other strategic concerns. The present study, on the basis of strategic choice perspective, reviews the divergent theories of a franchise system's ownership structure and its determinants, thus providing a theoretical framework for comparing the contradictory arguments along the several critical dimensions. We also developed and tested the conflicting hypotheses regarding key determinants of ownership structure including firm's age, size, transaction-specific investments, uncertainty, and risk-sharing propensity. Using a FDD (Franchise Disclosure Document) data set of 543 Korean franchisors, we found that the years in business, the total number of employees, days of training, the inverse of the years of franchising, and the requirement of royalty payment have positive relationships with the proportion of company-owned outlets to total number of outlets. On the other hand, the proportion of company-owned outlets was found to have negative relationships with the total number of outlets and the extent of geographic dispersion of outlets, but to have no significant relationships with the initial investment required and the inverse of contract length. Based on the findings, we provide several theoretical and managerial implications for studying ownership structure of franchise systems.