• The Korean Journal of Franchise Management
• /
• v.3 no.1
• /
• pp.130-143
• /
• 2012

Franchise store retailing is taking on ever greater roles in business and commerce in China. The diverse product range, small-batch order, high frequency and time-specific requirements inherent in retail logistics make it the most complicated of all categories of logistics. In franchise store retailing, expanding business scales make trans-regional development a trend. Without a well-functioning logistic system, the standardized delivery of products would be held back, impacting trans-regional development strategy and operational costs. Therefore, the efficiency of franchise store retailing largely depends on logistical efficiency. The integrated and streamlined management of franchise stores depends in large measure on their logistical centers. As such, logistical centers constitute the key link and bears on core competitiveness in franchise store retailing. This thesis begins with an analysis of the current developments and four basic logistical models of franchise store retailing in China, proceeds to summarize developmental trends as well as focal issues and proposes an efficiency enhancing plan.

• Journal of Distribution Research
• /
• v.17 no.4
• /
• pp.81-101
• /
• 2012

A franchise system develops competitive products for a franchise store through the system established by the franchise head office. Therefore, it has advantages of expanding the marketing effect since the risk of failure is reduced for a founder and the franchise head office supports the overall sales, advertisement and promotional activities. Also, a franchise store has advantages of fulfilling necessary facilities and tools on advantageous terms, reducing expenses by purchasing in bulk, and getting a supply of products with stable qualities. However, aside from such advantages, franchise head offices are forcing franchise stores to make unnecessary investments in equipments and remodel the interior. Also, franchise business operators are being made to share the cost of marketing and multiple franchise stores are being approved within the same business district, and franchise business operators are suffering damages. Therefore, cases of shutting down a franchise store or not renewing the contract are frequent. From the position of a franchise head office, profits that are generated from franchise fees, interior remodeling fees and supplying facilities and materials will increase as the number of new franchise stores increases. However, franchise stores are faced with difficulties due to excessive competitions between similar types of businesses and the overlapping of business districts that come from increases in the number of stores, and they eventually end up shutting down. Therefore, in order for a franchise business operator and franchise head office to grow and develop continuously, opening new stores is important, but successfully renewing the contract by maintaining a relationship with an existing franchise business operator is desirable. In this aspect, a study that examines the elements that can affect the relationship between a franchise business operator and franchise head office is believed to be important for the development of the franchise industry and creating safe jobs for the public. With an emphasis on the relationship between a franchise head office and franchise store, this study attempted to examine the effect of characteristics of a franchise head office and franchise business operator on the bilateral relationship such as the faith and immersion, and wished to review the effects of such faith and immersion on the satisfaction of a franchise store, including an intention of renewing the contract. In particular, in the current situation of great uncertainties in the market, this study also wished to examine how uncertain market elements will affect the relationship between the characteristics of a franchise head office and franchise business operator, and the faith and immersion. The study revealed that among the characteristics of a franchise head office, the standardization management of a franchise head office hinders a franchise store's faith and immersion in a franchise head office. Also, a franchise head office's support was shown to increase a franchise store's faith and immersion. However, it was revealed that a franchise head office's regulation and incentive policies for a franchise store do not affect a franchise store's faith and immersion. Among characteristics of a franchise business operator, a franchise store's healthy financial status and entrepreneur spirits were shown to enhance the faith and immersion in a franchise head office. However, it was shown that excellent business abilities of a franchise business operator actually reduce the immersion for a franchise head office. Also, the faith and immersion in a franchise head office were shown to enhance the intention of renewing the contract by increasing the satisfaction for a franchise head office. In addition, it was originally believed that the effects of a franchise business operator's characteristics on the faith and immersion in a franchise head office will vary depending on the market uncertainty, but the effect of a franchise business operator's characteristics depending on the recognition of uncertainties was shown to be insignificant. Such findings show that instead of making a franchise store pay for equipment investments and marketing and obtaining profits by force, a franchise head office should actively support a franchise store so that a franchise store's business activities can be conducted well, which will bring profits to a franchise store and ultimately to a franchise head office. This is a more desirable direction for the development of both parties. Implications of such findings are summarized as follows. First, it was shown that a franchise head office's standardization management actually reduces a franchise store's faith and immersion. Therefore, it is believed that instead of conducting standardization managements for regulating and managing franchise stores, measures should be developed so that franchise stores can actually participate voluntarily. For this, a head office should put in efforts to develop and provide standardized manuals, and make sure that a self-review system takes root. Second, a franchise head office's incentives did not have significant effects on the faith and immersion, but the support was shown to be effective. Therefore, it can be seen that instead of taking post-measures for a franchise store, taking pre-measures of actively supporting is more effective in maintaining a franchise store. Third, among characteristics of a franchise head office, it was shown that a franchise store's healthy financial status increased the faith and immersion in a franchise head office. Therefore, when selecting a franchise business operator, instead of thoughtlessly opening up franchise stores for the profit of a head office, it is believed that reviewing a franchise business operator's financial firepower and credit status is necessary. As for academic implications, previous studies examined the relationship by focusing on the characteristics of a franchise head office and franchise store, but this study focused on the characteristics of a franchise business operator. Therefore, this study dealt with the importance of a franchise business operator's competence, and is significant because it revealed the fact that a franchise business operator's excellent commercialization ability can become an element that hinders the immersion in a franchise head office. It was originally believed that a franchise store's characteristics will have different effects on the faith and immersion depending on the market uncertainty, but it was shown that the effect of a franchise store's characteristics depending on the recognition of uncertainties was insignificant, and that is the limitation of this study.

• Journal of Korean Society for Quality Management
• /
• v.30 no.2
• /
• pp.26-46
• /
• 2002

This study was conducted to identify the differences In Customers' satisfaction about service quality between the largest Korean fast food franchise and the largest American Fast food franchise in Korea. And this study was performed to identify the critical service factors influencing the store loyalty of fast food franchise in Korea. The results of this study show that the American fast food franchise is doing better performances in service factors than the Korean fast food franchise. And the value of food and service is identified as the most critical factor for the store loyalty of the fast food franchise in Korea.

• Journal of Korea Society of Digital Industry and Information Management
• /
• v.11 no.3
• /
• pp.231-240
• /
• 2015

This study empirically analyzed the relationship between the franchise pc game rooms selection behavior and revisit, recommendations. Select Properties from the franchise pc game rooms store is ease of access, computer specifications, pleasant environment, brand power and pricing strategy. Korean franchise industry is in spite of the short history of just over 30 years growing very fast. Especially pc game rooms store is 14,782 in 2012 years, pc game rooms store is operated by franchise form 10.6%, 87.9% operated by private, co-operation was confirmed at 1.5%. Conclusions are as follows. First, factors that significantly affect the degree of revisit has been identified as computer specifications, pleasant environment, brand power. Second, the recommendation is an important factor of the computer specifications, brand power, pricing strategy. Finally, franchise pc game rooms successful strategy has excellent computer's specifications, it needs a promotion strategy to attract pc game tournaments to be notified of brand power. We can also see that running is an important factor in a pleasant environment and a flexible pricing strategy.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
• /
• v.16 no.5
• /
• pp.91-107
• /
• 2021

As competition in the domestic franchise industry is more heated than ever, we examined the factors that affect the profitability of the coffee franchise industry, which has grown rapidly over the last decade, and explored what effect preparatory startup education has on the profitability of coffee franchise stores. Specifically, this study looked into whether preparatory startup education can increase store competitiveness, provide insight into store location selection, generate innovative management, and ultimately contribute to store profitability. To test these hypotheses, we employed structural equation modeling. Results showed that preparatory startup education has a significantly positive (+)effect on 1)business characteristics: taste, quality, price affordability, menu diversity, store ambiance, 2)location characteristics: suitability, and 3)innovation management: accessibility, delivery service, and SNS marketing. The factors with a significantly positive (+)effect on store profitability were taste, quality, and price affordability with regard to business characteristics, suitability in terms of location characteristics, and SNS marketing in respect to innovation management. We expect that this study will have practical implications for increasing the profitability of coffee franchise stores, which are facing excessive competition, and its findings will be useful for coffee franchise head offices as well as government when making relevant policy decisions. In addition, it is intended to deliver a message to franchise head offices, central government, and local governments that they should provide institutional support to coffee franchise stores such that delivery services can lead to substantial improvement in profitability, even when delivery costs are considered.

• Journal of Distribution Science
• /
• v.15 no.2
• /
• pp.47-51
• /
• 2017

Purpose - The purpose of the study was to find out factors having influence upon management of franchise convenience stores being distribution business by interview with franchisees in accordance with Delphi method and to investigate marketing strategy of increase income. Research design, data, and methodology - This study investigated not only franchisees but also head office's franchise consultants of convenience stores carefully by Delta technique to suggest actual solutions of practice and to be different from precedent studies. Delphi method's interview and questionnaire were used to investigate performance of franchisees. 120 franchisees were interviewed to consist of men and women. Results - FC visited franchise stores to investigate: Franchisees thought of keeping of exact information on commodity information and sales promotion events, and admitted of franchiser's effort of growth and development of stores and improper visit frequency of stores and low effort of solving of difficulty of franchisees. Conclusions - More than 80% of the franchisees cognized more than 70% of performance upon request of ordering from headquarters: Not only franchisees but also headquarters need to lessen gap of difference of cognition. Franchise headquarters was thought to give services below than common level, and service manual and operation manual were thought to be high. Headquarters need to give practical support service.

• Journal of Arbitration Studies
• /
• v.27 no.1
• /
• pp.161-182
• /
• 2017

The purpose of this study is to investigate the factors of conflict formation, conflict resolution type, and relationship performance between convenience store franchise headquarters and franchise stores operated by the franchise system located in the metropolitan area. The conclusion could be summarized as follows. First, according to factor analysis based on the previous research, the factor of conflict between convenience store headquarters and franchisee was tied to three factors such as goal disagreement, doctrinal discrepancy, and interdependence, whereas conflict resolution type was linked to three factors such as cooperation type, attack type, and avoidance type. Finally, the relationship performance is tied to three factors: financial performance, long-term cooperation, and non-financial performance. Second, as a result of Hypothesis 1, the interdependence was positively correlated when the cooperative type was the dependent variable. The target discrepancy was significantly positive(+) when the aggressive type was the dependent variable. The interdependence was significantly negative(-) when the avoidance type was the dependent variable. There also was a significantly positive(+) relationship in the target disagreement. Third, for Hypothesis 2, it is shown that target inconsistency is negative(-) for all cases where financial performance, long-term cooperation, and non-financial performance are dependent variables. Fourth, for Hypothesis 3, when the financial performance is the dependent variable, only the cooperative type shows a positive(+) relationship. On the other hand, when the long-term cooperation and the non-financial aptitude are the dependent variables, the cooperative type has a significant positive(+) relationship.

• The Korean Journal of Franchise Management
• /
• v.8 no.1
• /
• pp.31-41
• /
• 2017

Purpose - As the domestic coffee market is rapidly growing and competition is intensifying, coffee shops need to establish a marketing strategy that grasps the needs and desires of consumers in order to secure a competitive advantage in terms of survival. From this point of view, this study suggests what choice attributes consumers consider when visiting coffee shops, and analyzes the effect of customer choice attributes on franchise and private coffee shops using fsQCA. Research design, data, and methodology - In the present study, we tried to understand the effect of the combination of choice attribute on satisfaction by the type of coffee shop based on the complex system theory, while studying the existing coffee shop choice attribute focuses on the causal relationship. FsQCA is a complementary analytical method between quantitative and qualitative research, and is a method for effectively analyzing the complex combination of causal variables. Result - The results of the study are as follows. First, cleanliness was found to be the most important factor in determining coffee quality, which is the most important factor affecting customer satisfaction. Second, customers who prefer franchise coffee shops seem to be most concerned about atmosphere, menu, cleanliness and price. On the other hand, customers who prefer private coffee shops consider image the most important. Conclusions - The implications of this study are as follows. Overall, coffee shops should manage cleanliness basically regardless of the type of store, but they should manage the choice attributes differently depending on the type of coffee shop. Franchise coffee shops will be able to increase the level of store satisfaction by systematically managing the store atmosphere, menu, cleanliness, and price according to the manual using the advantages of the franchise system. On the other hand, unlike the franchise coffee shops, private coffee shops can operate autonomous stores, so customers can use various marketing mixes to enhance their store image.

• Journal of the Korea Fashion and Costume Design Association
• /
• v.17 no.4
• /
• pp.173-189
• /
• 2015

The purpose of this study is to present the classification and operation systems of fashion offline stores. This research analyzed fashion literatures, articles and papers published by fashion-related companies and interviewed fashion practitioners. This research can be used as information for practitioners of the domestic fashion brand and students of fashion majors. The classification and operation systems of fashion offline stores are as follows. 1. The types of fashion offline store is classified as a form of road shop, department store, complex shopping center, select shop, outlet, and fashion wholesale retail specialty store. 2. The road shop is classified flagship store, franchise store, direct sales store, and street brand store. 3. The department store is recently using strategy to improve the profit rate, as setting up the select shop, expand the import contemporary brand stores, the men's brand stores, SPA brand stores, the street brand stores, and the soho internet shopping mall brands instead of reducing the national brands. 4. Most forms of fashion offline stores enhanced the functions to combine the catering, cultural activities and purchasing the lifestyle-related products, as well as fashion items. 5. The types of the operation system in fashion offline stores is classified as direct operations, franchise operations, middle management operations, and fully insert operations. 6. Franchise operations are tended to decline, however middle manager operations are overwhelming.

• Korean journal of food and cookery science
• /
• v.32 no.6
• /
• pp.724-733
• /
• 2016

Purpose: This study was to evaluate the microbiological quality of salads in lunchbox's based on the holding time and temperature at convenience and franchise stores. Methods: Cabbage salad and crab meat salad were targeted for microbiological quality assessment. They were tested for aerobic plate counts, coliforms, Escherichia coli, Staphylococcus aureus and Enterobacteriaceae and assessment were performed by Korean Food Standards Codex. Results: In cabbage salad at convenience franchise store's at $5^{\circ}C$, the aerobic plate counts did not exceed the Korean Food Standards Codex. For cabbage salad stored at $25^{\circ}C$, the aerobic plate counts was 5.08 log CFU/g we hours after purchase, which exceeded the Korean Food Standards Codex. In case of cabbage salad in franchise store, the E. coli and S. aureus count exceeded Korean Food Standards Codex 3 hours after purchase. Microbiological analysis did not exceed the Korean Food Standards Codex at $5^{\circ}C$ in crab meat salad in convenience store. At $25^{\circ}C$, the aerobic plate count was detected at 4.45 log CFU/g after 32 hours, coliforms, E. coli, and S. aureus did not detect, but Enterobacteriaceae was found to be 2.34 log CFU/g after 9 hours in franchise store's crab salad. Coliforms was detected at 1.18 log CFU/g after 3 hours, and S. aureus was detected at 2.04 log CFU/g after 6 hours at $25^{\circ}C$ in the franchise store. The lunchbox' salad under cold storage ($5^{\circ}C$) generally meet the Korean Food Standards Codex. Conclusion: The results indicate an urgent need to implement proper management guidelines for the production of lunchbox foods to ensure microbiological safety, and to improve the shelf life from production to consumption.