• The Korean Journal of Franchise Management
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• v.3 no.1
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• pp.1-25
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• 2012

The studies of franchise companies are underway with the development of the franchise industry. Franchisor performance, franchisee performance, and relationship characteristics on performance, financial performance, non-financial performance, including research on the topic or purpose of the franchise performance and related discussions from a variety of perspectives have been proposed. Presented so comprehensive a discussion regarding the existing performance of the franchise and qualitative aspects such as satisfaction, long-term orientation to emphasize the limits. Therefore, this study was conducted by the franchise company's performance than the need to be clearly presented. Propose a quantifiable and quantified to reflect the characteristics of the franchise quantitative performance indicators. Franchise contract management systematically analyze the status of the enterprise contract management(ECM) and proposed contract management, leverage as an indicator for a more quantitative analysis. Contract management leverage is the franchise as an indicator of the merchant and the growth of the contract showing any significant changes in the coming changes in the Franchisee's sales growth target analysis results, notable implications could be found. This study are new methodology for the practical dimensions of performance of franchise companies.

• The Korean Journal of Franchise Management
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• v.8 no.4
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• pp.33-43
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• 2017

Purpose - Previous studies about corporate image generally explore how corporate image affects a company's effectiveness from the consumer view. However this study attempts to explore the impacts of corporate image (reliability, friendly, corporate social responsibility, and innovation) on employees' altruistic behaviors in the franchise industry context. This study also examine whether organizational trust and affective commitment play a mediating role in the relationship between corporate image and employees' altruistic behaviors. The authors developed several hypotheses to achieve these purposes. Research design, data, and methodology - The data were collected from employees in food-service franchise companies located in Seoul, Korea. Among a total of 363 questionnaires distributed, 294(response rate of 81%) questionnaires were returned. After excluding 18 invalid respondent questionnaires, 276 valid questionnaires(response rate of 76%) were coded and analyzed using frequency, confirmatory factor analysis, correlations analysis, and structural equation modeling with SPSS 21 and SmartPLS 3.0. Result - The findings of the study are as follows: First, friendly, CSR, and innovation had positive effects on organizational trust, but reliability did not have a significant effect on organizational trust. Second, reliability and friendly of corporate image had positive effects on affective commitment, but CSR and innovation did have a significant effect on affective commitment. Third, organizational trust and affective commitment had positive effects on employees' altruistic behaviors. Conclusions - The aim of this study is to investigate the franchise corporate image as a significant influencing factor of employees' altruistic behaviors. The data were collected from only employees from franchising companies. The findings might vary from position to position. Future studies need to collect and compare data from managers. Future studies need to consider other variables that affect employees' altruistic behaviors. For example, leadership and market orientation might influence employees' attitude and behaviors. Also, future research should include other variables and it may have limitations in sample representative because of sampling franchise corporate in Seoul. Future studies will include franchise corporate all over the country. Future studies can also consider other variables (e.g., job performance and turnover intentions) to measure employee performance at the level of individuals and identify the impact of employee performance on business performance at the level of corporate.

• Culinary science and hospitality research
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• v.22 no.1
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• pp.1-8
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• 2016

The purpose of this study is to develop and test a model that explains the effect of perceived service factors on: 1) experienced value, 2) trust, and 3) loyalty in context of franchise snack bar. In addition, the study will clarify how these variables relate to each other. The findings of this study identified that functional and humanic clues are the most significant components which influence on experiential value as well as trust in franchise snack bar sector. These findings may contribute to provide valuable marketing strategic for this business segmentation, and it can be utilized as a fundamental study to establish an efficient business plan to increase revenue in the industry.

• Proceedings of the Korean Institute of Interior Design Conference
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• 2007.11a
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• pp.187-190
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• 2007

Many consumers today are increasingly buying products with brand-image, additional value. Also brands are important factor in the franchise business. According as a standard of living is improved due to the development of economy and community, our country is increasing interests in hair styles with desiring of beauty. Therefore, domestic beauty industry has been improved by the introduction of the franchise with specialization, different management system and the marketing strategy. Through a case of hair salon's franchise, a purpose of this paper is elements which form the brand-image in space investigate how it have been applied and letting fundamental data of beauty care thread space planning.

• Journal of Distribution Science
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• v.9 no.2
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• pp.49-59
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• 2011

A franchise can be said to be the main method of distribution and marketing. It appears to be the future of the retail industry and is one of the world's fastest growing businesses sectors, as many policy reports and research results have acknowledged. Korea's franchise industry began in the 1970s, spread out into many areas (including food services, retail, and the service industry), and has grown by over 10% each year ever since. The industry's influence on the national economy becomes ever greater. Although the size of the franchise industry is expected to grow as it spreads and as the government expands its support, it has not yet attracted much academic interest. Research has so far been very fragmented. The main interest has been the relationship and conflicts between the head offices and the affiliates. No study has yet occurred on whether the concepts of satisfaction and intent to conclude a contract directly affect the success or failure of the affiliates. Few studies have empirically inquired into the demographic characteristics and abilities of the affiliates that significantly affect their results. Domestic franchise industries must prepare to leap from quantitative to qualitative growth. Most important is the need for affiliate headquarters and affiliates to build confidence between them. A friendly and reliable relationship between affiliate headquarters and affiliates will eliminate distrust from the franchise and maintain a healthy franchise system. This study suggests that current and prospective heads of affiliation should concentrate not on attracting affiliates but on investment and techniques of affiliate support. They should work on the reinforcement of brand power, the appropriate affiliate business environment, systematic education/training, taking burdens off the affiliate business persons, consolidating the relationship with the affiliate business persons, marketing mix factors (e.g. products, price conditions, logistics and shipping services, promotion, supervising and supervisor, operation procedures/processes, and material evidence); these all greatly affect the success or failure of the affiliate business. Supporting the affiliates is an important factor that enhances their results and satisfaction and consequently increases the positive recommendations to others and the ratio of recurrent conclusions of contracts, which ultimately generate the growth of the franchises. In addition, it is suggested that prospective franchise founders should make every effort to choose a good head office since the characteristics of the head office greatly influence the success of the affiliates. This study is significant in that it grasps the characteristics of the head office of affiliation and of the affiliates that influence affiliate results in ways not yet academically attempted.

• International Commerce and Information Review
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• v.18 no.4
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• pp.333-358
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• 2016

This study investigates the relative effect of symmetric and asymmetric relationship between franchiser and franchisee on the relational outcome of franchise alliance in education industry. To verify the research model, 240 samples, which is related with eduction service, were collected, among which 200 were used for the analysis. The outcome suggests that the asymmetric relationship in an alliance negatively influenced the relational quality, among which asymmetric alliance-specific investments had the most significant effect. On the other hand, the relational quality was positively influenced when the alliance relationship was symmetric, especially when the interactional fairness was high. Furthermore, compared to foreign franchise, local franchise presented higher level of role and responsibility imbalance, along with higher likihood of franchisees' opportunistic behaviors.

• Journal of Distribution Science
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• v.16 no.4
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• pp.35-47
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• 2018

Purpose - This study seeks to find out the factors affecting the performance of franchisees from the franchisor's and franchise's intangible assets. In order to explain the process, this study explores the concept of LMX, Relational Capital, and Decision Rights Delegation. Research design, data, and methodology - To verify the proposed hypotheses, a questionnaire survey was conducted for franchise store owners, and to test the hypotheses, structural equation modeling was established. Results - First, franchisor's intangible assets affect the quality of LMX, but don't affect the relational capital. And the quality of LMX affects the relational capital. In addition, "the effect of delegation of decision rights on relational capital" and "the effect of relational capital on franchisee's performance" were significant. However, the effect of delegation of decision rights on franchisee's performance wasn't significant. Second, the intangible assets of the franchise have a positive effect on the quality of the LMX and the degree of delegation of decision rights, and the quality of the LMX has a positive effect on the delegation of decision rights. Conclusions - This study would suggest operational implications for the formation of vertical and horizontal relationships and the cooperation between the main members of the franchise business.

• Culinary science and hospitality research
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• v.23 no.3
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• pp.216-226
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• 2017

This study was conducted to examine the relationships among various visible clues and non-visible clues as perceived by franchise family restaurant consumers. Using online survey tool in South Korea, total 450 survey was distributed and 400 participants were used for further statistical analysing with SPSS 23.0 and AMOS 20.0. Twelve items were categorized into four visible factors (food, interior, exterior, employee). The result shows that food and employee have positive effects on brand reputation and distinctiveness, and the interior and employee were critical antecedents for brand distinctiveness. In addition, the brand reputation and brand distinctiveness have positive influence on experiential value as well as revisit intention. Although there were many studies which demonstrated the relationships among various quality clues and other outcome variables, such as brand image, loyalty, little research explained the relationships among visible elements of franchise family restaurants, brand reputation, brand distinctiveness, and revisit intention. The present study will provide theoretical and practical implications for both academia and the franchise family restaurant industry. (what is the meaning of the red part?)

• The Korean Journal of Franchise Management
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• v.5 no.1
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• pp.109-141
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• 2014

Recently, the interests of consumers in firms that implement the social commitment activities have been consistently growing. Consumers' evaluation about the level of corporate social responsibility(CSR) can affect the overall image for product or service of corporation. This recent changes make a marketer to have to consider direct and indirect effects of CSR efforts on the market performance. This phenomena is also found in the franchise industry. The importance of CSR is more critical rather than other industries since each franchisor should care franchisees as well as end users. Franchisors' execution of CSR could increase satisfaction of end user through consonance of activities provided by franchisees. However most franchisor stay in focusing on the traditional CSR activities. Therefore, this study aims to enhance the understanding the CSR in franchise and provide the phase model of CSR development for general firms including franchise. After diagnosis the firms with the proposed model, the study found many franchisors have huge gap between current CSR activities and higher level of CSR policies that franchisor have to make facing. This study call franchisors to reduce this gap by implementing new CSR efforts. If they answer for this calling, franchise industry could leap for making the best practice of creating shared value with other stakeholders.

• The Korean Journal of Franchise Management
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• v.2 no.1
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• pp.1-45
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• 2011

Franchising is one of the most effective strategies in promoting business establishment, creating jobs and accelerating economic growth. Thus, many countries in the world foster franchise business and support the franchise industry by enacting relevant regulations and making development policies. Vietnam deregulated franchise market through making franchise-related laws on June, 2005 and after joining WTO in 2009, Vietnamese government opened up the franchise market by letting foreign investors acquire 100% share on their investment in Vietnam. In addition, Vietnamese consumer's rapidly growing income and increasing liking for western life style make Vietnamese franchise market attractive and profitable. For this reason, many global franchise firms are competing to get the best seats. However, there has been no Korean attempt to profoundly study over Vietnamese franchise market. The purpose of this study would focus on analyzing and evaluating cases of Korean and international firms which successfully entered Vietnamese market and on proposing effective strategies and key success factors. The result of this study indicates that the companies successfully settled down to the Vietnamese market have developed marketing strategies which fit their strengths, and their common key success factors are 1) making the best of first mover advantage, 2) adapting themselves to local tastes and behaviors via systematic and scientific market research, 3) making thorough supervision on safety and hygiene, 4) doing strategy of firstly directly being operated and settled down by franchisor, later being managed by franchisees, 5) benchmarking both successful and failed cases in other countries.