• Journal of the Korea Academia-Industrial cooperation Society
• /
• v.11 no.9
• /
• pp.3210-3222
• /
• 2010

Franchise Industry has a big portion in national economy, and contributes to protecting self-employments and making jobs. One of good way to increase the success of franchise business is operating some franchisor's company owned outlets before franchising. The purpose of this research is to understand the effects of the company owned outlets on franchisor's current performance. According to the result, the operation term, scale, and location of company owned outlet increase the legitimacy of franchisor. The operation term, and scale of company owned outlet increase the efficiency of franchisor, And both legitimacy and efficiency increase of franchisor's current achievement.