• Title/Summary/Keyword: Franchisee

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A Study on the Standard Provisions of International Franchising Contracts and Unfair Trade Acts (국제프랜차이즈계약의 표준조항과 불공정거래행위)

  • Seo, Jung-Doo
    • Journal of Arbitration Studies
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    • v.22 no.3
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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.

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The Analysis of the Relationship between the Restaurant Franchisees' Understanding of the Fair Trade Practices Law for Franchise Business and the Related Factors (외식프랜차이지의 가맹사업거래의 공정화에 관한 법률 인식과 관련 변인과의 관계 분석)

  • Park, Jae-Ho;Cheon, Hee-Sook
    • Culinary science and hospitality research
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    • v.14 no.3
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    • pp.69-84
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    • 2008
  • The franchise business in Korea, having a relatively short history compared to those of the advanced countries, disclosed many problems between franchisors and franchisees due to a rapid growth in number for the short period of time. Having recognized these problems, the Korean government, responding to social demands, established "The Fair Trade Practices Law for Franchise Business" to restrict unfair trade practices and to develop a healthier franchise business practice in general. In this study, we closely examined how the franchisees' understanding of the related laws would influence the franchisees' countermoves and satisfaction and the franchisor's reactions from the franchisees' standpoints. In conclusion, the franchisees show higher satisfaction in heteronomous changes achieved by the mutual agreement with the franchisors rather than in autonomous changes achieved by their active pursuits, as seen from the interrelation of the franchisors' reactions and the appropriateness of franchise agreements.

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Analysis of Medium-Sized Coffee Franchisee' Location Factors through Analytic Hierarchy Process (AHP분석을 이용한 중견 커피 프랜차이즈의 입지요인 분석)

  • Hyun Yu;Minjung Lee
    • Proceedings of the Korean Society of Computer Information Conference
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    • 2023.01a
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    • pp.427-428
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    • 2023
  • 최근 저가 시장에 신규로 진입하는 브랜드들이 급격히 증가하면서 메가엠지씨커피, 빽다방, 컴포즈커피, 더벤티, 커피에반하다, 요거프레소 등 중견 커피 프랜차이즈 경쟁도 치열해 지고 있다. 최근 중견 커피 프랜차이즈 시장 변화가 입지요인에 미치는 영향을 AHP기법 적용하여 우선순위를 도출하였고, 이를 5년 전 결과와 비교하였다. 입지요인 중 과거의 연구에서 높은 중요도를 보였던 '경쟁업체의 수'는 본 연구에서 중요도가 낮아진 것으로 나타났으며, 상대적으로 중요도가 낮았던 '경쟁업체와의 경쟁력'은 상위를 차지하는 결과를 보였다. 본 연구를 통하여 중견 커피 프랜차이즈의 주요 입지요인을 도출하여, 과거의 입지요인과 비교하여 그 원인을 파악하고 향후 커피 프랜차이즈의 발전방안에 대해 고려하고자 한다.

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The Effect of the Uniformity of Franchisee Service Quality on Customer Satisfaction and Behavioral Intention in Korean Franchise Restaurants (한식 프랜차이즈 가맹점의 서비스 품질 동일성 유지가 고객 만족 및 행동 의도에 미치는 영향)

  • Jung, Seung-Hoon;Kim, Min;Lee, Yeon-Jung
    • Culinary science and hospitality research
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    • v.15 no.3
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    • pp.94-111
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    • 2009
  • Franchise restaurants in Korea are making efforts to improve service quality by developing and following service quality manuals to provide uniform services. This study was conducted to verify the fact that such efforts to provide uniform services would increase customer satisfaction and influence customers' decision to revisit. After setting up research models and hypotheses, the survey was conducted for 30 days from April 1 to 30, 2008 and a total of 279 copies were analyzed. The result of this study includes three findings. First, among the independent variables pertaining to the influence of uniform service quality on customer satisfaction, service uniformity, brand uniformity, and space arrangement uniformity were most influential. Also, among the brand image variables, service uniformity was most influential on customer satisfaction. Second, it was found that uniform service quality had positive influence on customers' behavioral intentions and that menu was the most influential factor. Third, it was found that higher customer satisfaction had greater influence on customers' behavioral intentions.

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The effect of managerial characteristics of franchisor on the perceived justice of franchisee (가맹본부의 관리적 특성이 창업 가맹점주의 공정성 인지도에 미치는 효과)

  • Kim, Gil-Sun;Ahn, Kwan-Young
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.7 no.2
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    • pp.157-165
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    • 2012
  • The specific gravity is heavily focused on the service industry in the economic development of domestic and overseas in these days. This will be predicted to increase persistently in the future society. Therefore the franchise system has been diffused as one of a management methods for these service industry. The franchise system is an advanced country's circulation system which has been populated in an advanced country. After the opening of circulation market, rapid growing trend has been showing on foreign country's popular brands in the local domestic market. So the franchise system has been largely focused on among the domestic manufacturing and the circulation companies. This study is to review how the management characteristics(headquarters' supports, communication, menu development, compensation) will affect the fairness perception of franchisee owner. The results of my study are as follows; It appeared that communication, menu development and compensation affected all the distribution fairness and the procedure fairness affirmatively.

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Differences Between Franchisees and Independent Business Owners - Empirical Evidences and Policy Implications - (가맹점사업자는 자영업자와 어떻게 다른가 - 경험적 증거와 정책적 시사점 -)

  • Lim, Young-Kyun
    • Journal of Distribution Research
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    • v.16 no.5
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    • pp.141-169
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    • 2011
  • This study compares the business performances and the socioeconomic and sociopsychological characteristics of franchisees and independent business owners (IBOs). On the basis of extant theoretical arguments and empirical evidences it was expected that franchisees are different from IBOs in these aspects because unlike IBOs they are using franchising as their way of businesses and should satisfy the requirements imposed by franchisors. Analyzed in the current study was a national survey database of 424 franchisees and 5,690 IBOs compiled by the Small Enterprise Development Agency in 2011. As expected, it was found that franchisees were significantly different from IBOs in such traits as financial and managerial capabilities, business experiences, demographic and socio-psychological characteristics, information searching efforts, business performances, and their perceptions of business obstacles. It was also found that the effects of these traits on business performances were quite different between franchisees and IBOs. The findings of the current study provide some meaningful suggestions for government agencies. Given that franchises and IBOs have different traits, their demands for governmental policy should be different, and consequently, it might be argued that government agencies should treat the two groups separately and should increase their efforts to develop appropriate supporting policies for each group. With respect to franchisor's practices for franchisee selection, it is also argued that in order to enhance franchisee performances franchisors need to examine thoroughly the traits of prospect franchisees. This study concludes with discussion of several theoretical and methodological limitations for future research.

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A Study on the Relationship between Justice Perception of Franchise and Trust, Switching Barriers of the Franchisee in the Barriers and Beauty Parlors Business (이.미용업에서의 프랜차이즈 공정성 지각이 신뢰와 전환장벽에 미치는 영향)

  • Kim, Kyeong Ran;Ryu, Hwang Gun;Oh, Chang Seok
    • The Korean Journal of Health Service Management
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    • v.1 no.1
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    • pp.75-89
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    • 2007
  • The start point of a franchise system such as Lotteria was in 1979. Since 1990, the franchise systems in Korea have rapidly spread over all industry types. As 'Franchise Law' was enforced in 2002, the expansion of a franchise picked up its' speed. The barbers and beauty parlors business has the same expansion trend. However, there was no study about the franchise systems in the barbers and beauty parlors business. The purpose of this study was to find the goodness of fit of the structured equation model proposed and identify the significances of relationships in the variables of justice perceptions, trust, satisfactions, business performances, switching barriers, switching cost etc. This study tries to find a solution for a good development between franchisor and franchisee in the barbers and beauty parlors business in Korea. The theoretical considerations about justice of this study is limited in reciprocal relation justice and procedure justice. And it did make simplify for trust, satisfaction, business performance, switching barrier. And switching barrier did measure as dimension of switching coot. From October 26, 2005 to October 29, this study collected 250 survey questionnaires from the franchisees located in Seoul, Busan, Daegu, Ulsan, and Keoyng-Nam. In analyses of using SPSS Windows 11.0 and LISREL 8.14, this study used 208 cases because 48 cases did not response appropriately. Tn conclusions. reciprocal justice perception and procedure justice jointly determined trust. Secondly, reciprocal justice perception significantly determined satisfaction. Procedure justice perception negatively determined satisfaction, but this relationship was not significant. Thirdly, reciprocal justice perception positively influenced business performance, and procedure justice negatively influenced business performance, but the last relationship was not significant Fourthly, trust positively significantly influenced satisfaction and business performance. Fifthly, satisfaction positively influenced business performance and true determined switching barrier positively. This study shows following: firstly, a composition concept did make structural relationship and secondly, a reciprocal relation justice of a franchisor did appear as an important variable and it gives positive influence to trust, satisfactions, business performance, switching barriers of the franchisees.

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The Effects of Franchisor's Promotion Strategies on Food Service Franchisee Trust and Business Performance (외식 프랜차이즈 가맹본부의 프로모션 활동이 가맹점의 신뢰와 경영성과에 미치는 영향에 관한 연구)

  • An, Sang-Joon;Kim, Tae-Hwan;Chang, Jun-Suk
    • Journal of Convergence for Information Technology
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    • v.7 no.6
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    • pp.259-265
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    • 2017
  • This study reviewed the existing studies in order to set up a strategy that can achieve the trust and business performance of the franchisers, who are actually operating franchised business, breaking from the research trend centered around franchise headquarters and added the factors of the franchise headquarters' strategy for expanding franchises, including word-of-mouth communication and advertising & publicity and added the exercise of recruitment agency outsourcing, flagship store, recently utilized often as preceding variables to verify the causal relation between the trust of the franchiser and the business performance of the franchise. The implications of this study, it can be concluded that the government authority for the attraction of healthy franchises can continuously attract franchises and enter the market can continuously attract franchises by increasing the trust of the franchises, and powerfully investing and managing them for the effort through word-of-mouth marketing. It is expected that this study will be helpful in the establishment of a business strategy for forming a continuous relationship as well as the franchise head office's strategy for the recruitment of new franchises.

Effects of the Support and Control of Franchisors on Franchisees' Satisfaction and Response Strategies (프랜차이즈 가맹본부의 지원, 통제가 가맹점사업자의 만족 및 반응전략에 미치는 영향)

  • Kwon, Yong-Deok;Yu, Jong-Pil
    • Journal of Distribution Science
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    • v.12 no.8
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    • pp.43-54
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    • 2014
  • Purpose - This study was based on a theoretical consideration of the structural relationship between the support and control of the franchisor and the satisfaction and strategic response (voice, loyalty, exit, neglect) of the franchisee. First, based on the preceding research, this study systematically organized the type of support and control of the franchisor. Second, the study examined the effects of a franchisor's support and control on the expectancy disconfirmation between affiliated franchisees' expectations before a franchise agreement and performance after operating an affiliated store. Third, the study looked into the effects of expectancy disconfirmation relating to a franchisor's support and control on an affiliated franchisees' general satisfaction. Fourth, this study examined the influence of the general satisfaction of a franchisee on affiliated franchisees' response strategies. Research design, data, and methodology - In this study, the population comprised the nation's franchisors, and the sample comprised franchisees conducting business in Seoul and Gyeonggi-do. A self-administered questionnaire was used; the author and examiner explained the study's parameters to the interviewees in advance, to lessen the rate of rejection of the answers and to maintain reliability. The author distributed 350 copies of the questionnaire and collected 327 copies (93.4%). The author removed 54 copies of the sample, as these copies belonged to franchisees that were not registered by the Fair Trade Commission and/or were thought to have either defects or inadequate answers. The author selected an effective sample of 273 copies to enter data and to do the statistical analysis. Results - Both a reliability analysis and a confirmatory factor analysis were performed to measure reliability and validity, and a structural equation model was used to conduct the hypothesis test and investigate the models. The hypothesis was tested (Table 5). The models had a suitable fit, for instance, χ2 = 447.663(df = 212, p = .000), χ2/df = 2.112, GFI = .881, AGFI = .858, RMR = .083, RMSEA = .067, NFI = .932, and CFI = .961. The hypothesis test results were as follows. Hypothesis 1 was accepted (C.R. = -2.339, p = .019). Hypothesis 2 was accepted (C.R. = 15.213, p = .000). Hypothesis 3 was accepted (C.R. = -2.631, p = .006). Hypothesis 4 was accepted (C.R. = 16.271, p = .000). Hypothesis 5 was accepted (C.R. = 2.391, p = .017). Hypothesis 6 was accepted (C.R. = 5.777, p = .000). Hypothesis 7 was accepted (C.R. = 17.153, p = .000). Hypothesis 8 was accepted (C.R. = 24.746, p = .000). Hypothesis 9 was accepted (C.R. = -10.150, p = .000). Hypothesis 10 was accepted (C.R. = -12.124, p = .000). Conclusions - The research results showed that expectations for a franchisor's support and control had a significant influence on expectation disconfirmation in a negative way, whereas the performance of support and control were found to have a significant influence on expectation disconfirmation in a positive way. In addition, the expectation disconfirmation of support and control was found to have a significant influence on satisfaction of franchisees in a positive way. Generally, regarding the research on control, control is found to have a negative influence on the satisfaction of franchisees, but this study proves that control is found to affect it in a positive way through conformity.

A Study on the Relationship Among Brand Authenticity, Brand Identification, Educational Satisfaction, Brand Trust, Recommendation and Re-Contract Intention in the Pharmacy Franchisee (약국 프랜차이즈 가맹점(franchisee)의 브랜드 진정성, 브랜드 동일시, 교육만족도, 브랜드 신뢰, 재계약의도, 추천의도의 관계에 관한 연구)

  • Min, Byeong Seok;Park, Woojin;Bae, byung Yun
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.14 no.4
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    • pp.143-160
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    • 2019
  • The domestic pharmacy market has undergone a lot of changes starting from the division of medicine. Along with the division of medicine, patients who had previously visited the pharmacy were moved to a hospital or clinic. As the pharmacy became more dependent on the illness and the clinic, the pharmacy began various activities to search for ways other than prescription drugs. At this time, the importance of distribution was emphasized around the time, and as the need to strengthen the competitiveness of pharmacies increased, they rapidly grew into the franchise market. Pharmacy franchise companies continue to lecture on academic management to strengthen the expertise of pharmacists' functions in line with the pharmacy market, which is different from ordinary franchise, in addition to private brand products for pharmacies, diversifying pharmacy handling items, And strengthening its market competitiveness. but research to support it are insufficient. As a research to help this, we analyzed factors affecting the intention of re-contracting and recommendation intention that affect the maintenance and expansion size of the drugstore franchise market. As a result showed the intention of re-contracting and the intention of recommending are affected by positive influence in brand trust. In addition, Brand Promise, Employee authenticity, Originality, Product excellence, Brand reputation, Brand identification, Educational Satisfaction were found to affect brand trust.