• 유통과학연구
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• 제12권4호
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• pp.11-22
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• 2014

Purpose - The domestic franchise industry has made significant contributions to industry such as investment, employment, and community economy development, facilitating growth potential. The franchise industry provides management knowhow transfer between parent companies and franchisees as per contracts addressing use of business signs, franchisees' independent position, franchisor support, and royalties to be paid to the franchisors. However, many franchisors lack management knowhow and provide insufficient support because of poor control of franchisees and not having a systematic approach to support. This results in dissatisfied franchisees and failure to establish long-term relationships. Few studies have examined relational commitment and/or re-contract intention by support resources between franchisors and franchisees, despite a considerable output of theories and studies of the growth of the franchise industry. The purpose of this study, therefore, was to examine the effects of the ability to provide resources on relational commitments and re-contract intention, and to suggest causal relationships and implications. Research design, data, and methodology - The subject was domestic franchisors registered with the Association of Franchise with more than 50 franchisees. Franchisees under contract for 2 years and considering re-contract of their franchise 2 years later were used. The subjects totaled 300 franchisees in Seoul. A questionnaire survey was used to investigate the subject of franchisees' concessions during the 10 days from November 21, 2013 to November 30, 2013. After excluding 16 surveys with poor answers, 284 responses were finally used. Four areas and 44 questions were used. A nominal scale was used for four common characteristics questions including gender, ages, educational background, and franchise managing time. Questions regarding ability, relational commitment, and re-contract intention made use of a Likert 5-point scale. Data coding and data cleaning were used. SPSS 18.0 was used as follows. First, frequency analysis was done to investigate demographic characteristics. Second, exploratory factor analysis was done to verify validity of testing tools, and Cronbach's α coefficient was used to verify reliability. Third, correlation analysis and multiple regression analysis were done. An exploratory factor analysis was done to verify validity of concepts. A correlation analysis was done to test relationships between the variables, and multiple regression analysis was done to verify franchisor's ability, franchisees' relational commitment, and re-contract intention. Results - The following were the outcomes. First, store operation management, finance operation management, and human resource management affected the calculated bond. Second, store operation management and finance operation management affected the emotional bond. Third, store operation management, finance operation management, human resource management, and marketing management affected the prescriptive bond. Fourth, calculated bond and prescriptive bond had an effect on re-contract intention. Conclusions - As stated above, in franchise management, parent companies' offer and instruction of core competence to their franchisees as an information resource could improve the relational bond by helping them grow together through the resource sharing. Consequently, core competence factors were promoting factors that could improve franchisees' re-contract intention for a long time.

• 한국프랜차이즈경영연구
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• 제9권1호
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• pp.7-15
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• 2018

Purpose - The purpose of this study was to establish self sustainable win-win growth model for Korea franchise corporate sustainability and to suggest theoretical and practical implications for franchise management. Research design, data, and methodology - This study is based on literature review methodology. Result - The study suggested the ways of self sustainable win-win growth model for Korea franchise corporate sustainability. First, franchiors should strengthen requisite & specify in the contract, share information & strengthen transparency, and establish win-win management support system for control & autonomy balance. Second, franchises should develop CEO management competency & employee work competency, and establish recognition for Intellectual Property Rights Use. Third, franchisors and franchises should implement contract sincerely, strengthen Organizational Citizenship Behavior, and solve moral laxity. Forth, franchisors and franchises should establish trust and value with communication to make Creating Social Value. Fifth, franchisors and franchises should realize self sustainable social value for corporation and social community. To make this, franchsors and franchise should establish self sustainable win-win growth ecosystem with people, system, culture, innovation. Conclusions - First, Franchisors and franchises should distribute 'Self sustainable win-win growth 2025 for Korea franchise corporate sustainability' and 'Self sustainable win-win growth model for Korea franchise corporate sustainability'. Second, Franchisors and franchises should change their perspective about franchise industry. Third, Franchisors and franchises should develop various training and development plans for franchise industry. Fourth, Franchisors and franchises should establish franchise performance certificate system.

• 한국중재학회지:중재연구
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• 제22권3호
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• pp.165-185
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• 2012

Franchising has proved over many years to be a successful commercial vehicle for the international distribution of products and services. However, there has long been missing a user-friendly model contract that would reflect the diversity of international franchising contracts. Because the ICC has drafted a model form of international franchising contracts, taking into account the most commonly encountered clauses in franchising agreements, their model could be used as a checklist of the core obligations of a cross-border franchise contract. Because there is no internationally agreed-upon uniform legislation on franchising, parties must rely on national laws and regulations applicable to the international franchise (when such laws and regulations exist) and should therefore very carefully draft stipulations for the legal status of the contract. This study has been intended to cite some provisions for striking a fair balance between the interests of the franchisor and those of the franchisee and for avoiding unfair trade acts in international franchising contracts.

• 무역상무연구
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• 제67권
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• pp.49-68
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• 2015

In recent years in China, corresponding to a shift in consumption pattern from household basics to greater expenditure on quality of life, new franchising opportunities arise. Although the franchising prospect in China is promising, Korean companies aiming at franchising into China need to be aware of the legal framework for commercial franchise in China as this will have direct impact on their business expansion. Where franchising activities involve trade mark licence, Chinese Franchise Regulations require such trade mark licence agreement to be regulated in accordance with the relevant provisions of the Chinese Trademark Law. Furthermore where one party fails to perform his obligation and it impacts purpose of the contract seriously, the other party could avoid the contract in accordance with the relevant provisions of the Chinese Contract Law. To launch franchising business successfully in China, Korean companies do market research sufficiently before they may commence franchise business. Korean franchisor must register with local authorities in China by own name, and make Chinese partner take charge of management of the distribution network and invitation of franchisee partners.

• 한국프랜차이즈경영연구
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• 제6권1호
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• pp.42-68
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• 2015

As franchise industry has grown, the role of a supervisor who is a contact point between franchisor and franchisees has become more vital to success of the business. This research, focusing on his/her specific role, explores communication type, leadership type, and followership type of the supervisor in relations with the organization, franchisor, and franchisees, respectively. Furthermore, we compared performance of franchises by the three types above through the franchise contract management leverage (FCML) which reflects business performance both qualitatively and quantitatively. According to the analysis on supervisors of a franchise business, 'Ganiyeok', the majority of supervisors' communication type were either supportive style or directive style. For the leadership type, team-type and impoverished-type leaders were the majority, while effective or passive followership appeared highest in followership type. In addition, supportive supervisors in communication style, team-type supervisors in leadership style, and effective supervisors in followership had highest FCML, while reflective and directive styles, impoverished style, and passive style had lowest FCML. Primary goal of a franchise business is stable profit generation. This study not only examined what characteristics supervisors need and which style is insufficient, but also proposed tailored solutions for each style. Thus, we confirmed that debates on franchise can be approached in perspective of both communication and business, and we further suggest diverse approaches on future franchise business.

• 유통과학연구
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• 제16권11호
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• pp.65-72
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• 2018

Purpose - The purpose of this research is to investigate the effect of ex ante governance mechanisms that can be exercised by franchisers on franchise contract compliance and various relationship outcomes. There are many previous studies on control mechanisms in inter-firm relationship, however, most studies focus on ex post governance mechanisms and identify the effects of behavior control and outcome control on performances. Based on transaction cost theory and agency theory, this study defines the ex ante governance mechanisms of franchisers as contractual completeness and extra contractual incentives. The author have examined the two ex ante control mechanisms on contract compliance, recontract intention, multi-shop running intention and opportunistic behaviors of franchisee. Research design, data, and methodology - In this study, 137 questionnaires of food and beverage franchise stores were collected through a specialized research company. The reliability and validity of the variables were analyzed using SPSS 18.0 and AMOS 18.0 programs and hypotheses were verified through the structural equation modeling. Results - As a result of hypothesis testing, contractual completeness and extra contractual incentives have a positive effect on the contract compliance of the franchisee. It is shown that franchisee's contract compliance has a positive effect on recontract intention and multi-shop running intention and has a negative effect on opportunistic behaviors. Conclusions - This study examines the ex ante governance mechanisms such as contractual completeness and extra contractual incentives, which is relatively rare compared to ex post governance mechanism in B2B relationship. According to the results of this research, these two tools can be used as ex ante control mechanisms for franchise headquarters to use their franchisees. In addition, franchisee's contract compliance affects various relationship outcomes between franchisor and franchisees.

• 무역상무연구
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• 제65권
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• pp.21-49
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• 2015

This study primarily concerns the various franchisor's duties provided under the Draft Common Frame of Reference (here-in-after DCFR) in comparison with those under Korean law. It particularly focuses on the followings. First, it scrutinizes the rules on the scope of application in a comparative way, focusing on the following questions; what is the definition of a franchise contract and what are the essential elements of such contract. Second, it investigates in a comparative way the provisons as to the franchisor's contractual duties as follows; 1) a duty to collaborate actively and loyally and coordinate their respective efforts, 2) a duty to provide the franchisee with adequate and timely information before the contract is concluded, 3) a duty to grant the franchisee a right to use the intellectual property rights, 4) a duty to provide the franchisee with the know-how, 5) a duty to render the franchisee with assistance, 6) a duty to ensure the products ordered by the franchisee are supplied, 7) a duty to provide information during the performance, 8) a duty to warn the franchisee decreased supply capacity, 9) a duty to make reasonable efforts to promote and maintain the reputation of the franchise network. Its emphasis is particularly put on the rationals, the contents and the nature of such duties. Third, this study provides legal and practical advice to the contracting parties when they intend to insert either the DCFR or Korean law in their contract as a governing law.

• 한국조리학회지
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• 제12권4호
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• pp.46-62
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• 2006

This study researched unequal trades and analyzed the difference of legal relation control between the franchisor and the franchisee in foodservice industry. The purpose of this study was the preparatory process for basic data to establish a statute law for the franchisee in foodservice industry. We made up a questionnaire for 53 franchisees in March 2004 and analysed spss 10.0. This result was as follows. First, the special office was needed for publicity activities of law related franchise and the investigation of a right in the written contract for a franchisee. Second, there should be the conformation and objective criteria of monopolistic goodwill in legal proceedings. Third, the larger the scale of franchisees was, the less efficiently the conflicts between franchisors and franchisees were controlled.

• 한국유통학회지:유통연구
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• 제17권4호
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• pp.81-101
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• 2012

본 연구는 프랜차이즈 가맹본부와 가맹점간의 관계에 주안점을 두고, 가맹본부와 가맹점사업자의 특성이 신뢰와 몰입과 같은 양자간의 관계에 어떠한 영향을 미치는지 살펴보고 이러한 신뢰와 몰입이 재계약의도가 포함된 가맹점의 만족에 어떠한 영향을 미치는지 살펴보고자 하였다. 특히 현재와 같이 시장의 불확실성이 높은 상황에서 시장 불확실성 요인이 가맹본부 및 가맹점 사업자의 특성과 신뢰 및 몰입과의 관계에 어떠한 영향을 미칠 것인지에 대해서도 살펴보고자 하였다. 연구결과 가맹본부의 특성 가운데 가맹본부의 표준화관리는 가맹본부에 대한 가맹점의 신뢰와 몰입을 저해시키는 것으로 나타났고, 가맹본부의 지원은 가맹점의 신뢰와 몰입을 높이는 것으로 나타났다. 그러나 가맹본부의 가맹점에 대한 통제와 인센티브 정책은 가맹본부에 대한 가맹점의 신뢰 및 몰입에 영향을 미치지 못하는 것으로 나타났다. 가맹점사업자의 특성 가운데는 가맹점의 건전한 재무상태와 기업가 정신이 가맹본부에 대한 신뢰와 몰입을 높여주는 것으로 나타났다. 그러나 가맹점사업자의 우수한 사업능력은 오히려 가맹본부에 대한 몰입을 감소시키는 것으로 나타났다. 그리고 가맹본부에 대한 신뢰와 몰입은 가맹본부에 대한 만족을 높여주어 재계약의도를 높이는 것으로 나타났다. 추가적으로 시장 불확실성에 따라 가맹점사업자의 특성이 본부에 대한 신뢰와 몰입에 미치는 효과가 차이가 있을 것으로 생각하였으나, 불확실성의 인식정도에 따라 가맹점 사업자의 특성이 미치는 효과는 유의한 차이가 없는 것으로 나타났다. 이러한 연구결과는 가맹본부가 지속적으로 성장 발전하기 위해서 가맹점에게 시설투자나 마케팅 비용부담을 전가하여 가맹점으로부터 수익을 강제적으로 얻으려 하기 보다는 가맹점의 영업활동이 잘 될 수 있도록 가맹본부가 가맹점을 적극적으로 지원을 해줌으로써 가맹점의 수익이 가맹본부의 수익으로 연결될 수 있게 하는 것이 양자의 발전을 위해 더욱 바람직한 방향임을 보여주는 결과라 할 수 있을 것이다.

• 무역상무연구
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• 제38권
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• pp.47-68
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• 2008

I have observed the validity of open-offer from a point of European contract law in comparison with International Trade Law in this paper. Generally we know that an offer is an expression of willingness bo be bound to the contract. In English law if there are no intention it will be considered such as circulation of price lists or catalogues. As for French law these activities could be considered as an offer. However German law is closer to English law as to an offer. A contract which does not ascertained price is open-price terms and it can be applied not only for general commercial contracts but also for franchise or for distributorship agreements especially in Europe. When open-price terms applied to reserve a exclusive right to the contract the validity of contract can be a serious matter between principals. In English law an offer must be sufficiently complete to be capable of acceptaqnce. English law does not require that price terms should be indicated on offer. English law allow a open-price terms in the contract. In French law a contract will be valid in the absense of a price which is either determined or objectively determinable. A price by the market price of similar products is not enough to be valid offer. It should be recognized and accepted objectively by third parties. French law require that price terms should be indicated on offer. Open-price terms are not enough to be an effective offer. However German law shows more flexible than French law. In German law if the price is not fixed in the contract there are four ways to determine it. The seller may determine the price by the time of deliver. By reason of thess backgrounds I have made comparison with European contract law and International trade law on the validity of open-price offer in this paper. It seems that we are not familiar with open-price terms although franchise contract or special terms of contract have been increased in these days. So I hope this paper will be helpful to show a new point of view.