• Title/Summary/Keyword: food service franchise

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The Impact of Food Service Franchisee's Customer-oriented Activities on Hedonic, and Utilitarian Values and Loyalty

  • JANG, Hae-Jin;WOO, Sung-Keun;LEE, Yong-Ki
    • The Korean Journal of Franchise Management
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    • v.11 no.1
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    • pp.7-17
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    • 2020
  • Purpose - As the competition in the foodservice franchise industry and the market becomes fierce and the entry barrier is lowered, the foodservice franchisor and franchisees strive to increase their competitive advantage in the market. Therefore, the franchisor and franchisees use experience management strategies to enhance the positive experiences of customers visiting the stores. In this regard, this study examines the effects of customer-oriented activities (physical-, social-, health-, and service-oriented activities) on utilitarian and hedonic values, and loyalty using stimulus-organism-response (S-O-R) model and value-expectancy theory. Research design, data, methodology - The data were collected from panels of online survey company, who visited a foodservice franchisee within last month. The survey was conducted for about 15 days from March 7, 2019 to March 21, 2019, and about 3,500 e-mails and messages were distributed to ask for the survey. A total 412 responded and completed the questionnaires. Of the 412 completed questionaires, 12 were discarded due to missing and misinformation data and 400 were retained for further data analysis. Results --The results showed that social oriented activities, health oriented activities, and service oriented activities had positive effects on hedonic value, while physical oriented activities did not have a significant effect on hedonic value. Health oriented activities and service oriented activities had positive effects on utilitarian value, while physical oriented activities and social oriented activities had no significant effects on utilitarian value. Hedonic and utilitarian values also have a positive effect on loyalty. Conclusions - First, food service franchises should provide services and menus in consideration of the health of customers. When a customer visits the store, franchisee should provide more health-oriented food or materials and clean and comfortable conditions so as not to threaten the health of the customer. Second, the food service franchise must build a service-oriented system. Foodservice franchisor need to provide continuous service training not only to the franchisees, but also to the employees of the franchisees. Third, franchise should design a store where customers can form social exchanges through providing various information exchange to customers and making the store as a local community center.

A Study on Weight of SWOT Factors for Korea Food Service Franchise Entrepreneur (국내 외식프랜차이즈의 창업을 위한 SWOT요인의 중요도에 관한 연구)

  • Choi, Chae-Bong;Lee, Sang-Suk
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.12 no.5
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    • pp.141-162
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    • 2017
  • The International Monetary Fund (IMF) crisis introduced a system for easy layoffs. With recent economic downturn, employees have been asked to retire early and less new jobs have become available. More small businesses as a result have been started. The purpose of this research is to study weight and ranking on SWOT factors of korea food service franchise industry using the SWOT analysis. The Analytic Hierarchy Process (AHP) and Analytic Network Process (ANP) were used to analyze the SWOT found by the surveys. First, the SWOT analysis shows that the franchise owners and the expert group view the industry positively overall and there are more strengths, opportunities than weaknesses, threats. While there are negatives and threats to the industry overall, many people think that there are more opportunities and positive aspects. Second, the franchise owners rank proven business model and platform (S3) as the strongest strength of food service franchise businesses while the expert group ranks management supports (S2) from headquarters as the strongest strength. Third, the expert group and franchise owner group indicate that the weight on unfair franchise contracts with headquarters(W3) and high penalty from breaking a franchise agreement(W4) are 60% of weaknesses. Fourth, both the expert group and franchise owner group indicate that change in people's lifestyle, value system and consumption pattern(O3) as the most important opportunity. Fifth, both groups indicate that changes in consumption pattern(T1) due to ever changing food service industry as the biggest threat. It is ranked higher than the entry of korea food service franchises.

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The Effects of Franchise Firm's Reputation on Trust and Loyalty (외식프랜차이즈 기업의 평판이 신뢰와 충성도에 미치는 영향)

  • Kim, Hye-Rim;Han, Young-Wee;Cho, Hye-Duck
    • The Korean Journal of Franchise Management
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    • v.8 no.2
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    • pp.37-47
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    • 2017
  • Purpose - Recently, the food service franchise market is experiencing rapid growth and competition is intensifying. Therefore, consumer choice has expanded, and reputation management has become important as a strategy for survival of corporations. Based on previous studies, this research proposed the theoretical framework about the structural relationships among reputation, trust(cognitive trust, affective trust), and loyalty. Research design, data, and methodology - This study examined the structural relationship between reputation, trust, and loyalty from the customer's perspective. Based on comprehensive validation procedures across nine food service Franchise firm types, This study found support for a five-dimensional scale with the following dimensions: Customer Orientation, Employer Brand, Reliable and Financially Strong Company, Product and Service Quality, and Social and Environmental Responsibility. In order to verify the research purposes, research model and hypotheses were developed. The data were collected from 227 food service franchise consumers through online survey. The data was analyzed with SPSS 24.0 and Amos 23.0 statistical program. Result - The results of the study are as follows. First, customer orientation, reliable·financially strong company and product·service quality have significant impact on corporate cognitive trust. And employer brand, product/service quality and social·environmental responsibility have significant impact on corporate affective trust. Second, cognitive trust and affective trust have significant impacts on consumer loyalty. Conclusions - The implications of this study are following as: From the theoretical perspective, this study considers trust as two dimensions such as cognitive and affective, not a single dimension, and identify what dimensions of franchise firms affect consumers' reputation perception and in turn lead cognitive and affective trust, and loyalty. This study also provides several managerial implications. In the franchise market where competition is intensifying, it is very important to analyze the attitudes of consumers in order to gain an advantage in competition with other competitors. In this study, it is meaningful that the study was conducted on consumers who have experience using a restaurant franchise company. Also, reputation is necessary to pay attention to the company because it is an important variable that strengthens with customer through confidence in food service franchise business, and leads loyalty and consumer consumption. Therefore, marketers should develop marketing strategies considering various reputation factors.

Mediating Effects of Relationship Fairness Between Franchisor's Support Service and Performance in Food Service Franchise (외식프랜차이즈 가맹본부 지원서비스와 성과간에 관계공정성의 매개효과)

  • LEE, Sang-Suk
    • The Korean Journal of Franchise Management
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    • v.10 no.2
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    • pp.19-32
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    • 2019
  • Purpose - This paper aims to investigate the mediating effects of relationship fairness factors between franchisor's support services and performance(re-contract intention) in food service franchise. More specifically, fairness was measured into distributive, procedure, interaction, and information, franchisor's support service was divided into pre-start support services (initial support services) and post-start support services (continued support services), and performance (re-contract intent) was measured using 3 items such as re-contract, contract extension, and recommendation. Research design, data, and methodology - The population for the survey is the head of franchises in the metropolitan area (Seoul/Gyeonggi), which operates a restaurant franchise, and samples included a wide range of overseas/domestic brands and regions. The survey was conducted from August 1 to September 30, 2018 through the survey agency. The survey was conducted together with a telephone interview and a direct visit by the investigator. A total of 205 questionnaires were collected and retrieved, 4 questionaires containing missing information were excluded and 201 responses were used for analysis. Results - The results shows that franchisor's initial support services have significant positive effects on procedural, interpersonal, and informational relationship fairness, and continuous support services have significant positive effects on distributive, procedural, interpersonal, and informational relationship fairness. This study also shows that informational and procedural fairness have significant positive effects on performance(re-contract intention). Finally, continuous services a significant positive effect on performance(re-contract intention). Conclusions - The results show that franchisor make a manual, and should improve fairness through regular investigation whether support services was executed as promised in the manual after franchisee operation. In addition, information fairness and procedural fairness have been shown to increase performance(re-contract intention). These results mean that the franchisor's headquarters should provide product and service support for the merchant in accordance with the manual and management policy to reduce asymmetry in information and improve procedural fairness to enhance performance(re-contract intention).

The relationship between perceived justice and service quality in the franchise system of food service business (외식사업 프랜차이즈에서 공정성지각이 서비스품질에 미치는 효과)

  • Ahn, Kwan-Young
    • Journal of the Korea Safety Management & Science
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    • v.11 no.1
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    • pp.137-142
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    • 2009
  • This paper reviewed the relationship between perceived justice and service quality, and the moderating effect of gender in the franchise system of food service business. Based on the responses from 135 franchisees, the results of multiple regression analysis showed that distributive and procedural justice have positive relationships with almost service quality factors. The results of moderating analysis showed that male franchisees have more positive relationships with almost service quality factors than female franchisee while in distributive justice, and that female franchisees have more positive relationships with almost service quality factors than male franchisee while in procedural justice.

The Mediating Effects on Relationship Quality Between Support Services of Franchisor and Re-Contract Intention in Food Service Franchise (외식 프랜차이즈 가맹본부 지원서비스와 재계약 의도 간의 관계품질의 매개효과에 관한 연구)

  • Lee, Sang Suk
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.14 no.3
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    • pp.141-151
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    • 2019
  • This paper aims to investigate the moderating effects of relationship quality between support services of food service franchisor and performance(re-contract intention) in food service franchise. For analyzing the relationship of them, the support services of food service franchisor categorized with initial service and continuous service. Also, the factors of relationship quality(satisfaction, trust, commitment) classified into detailed subfactor by confirmatory factor analysis. As a result, we found some statistically significant effects between the support services of food service franchisor and factors of relationship quality, and they sequentially affects to re-contract intention. Also, it's analyzed that factors of relationship quality have a role as a moderating variables by research model. That is, as a presented with previous research, there is verified that relationship quality is caused by support services of food service franchisor. Also, relationship quality factors significantly affect to performance(re-contract intention). Some guidelines for practicing potential food service franchise as a result of this would include; first of all, it is important to support the potential food service franchise consulting approach for some competitive advantage; secondly, effective governmental support programs for food service franchise should be developed for positive impacts of according to these results.

A Study on the franchisee satisfaction in the foodservice franchise industry (외식프랜차이즈 시스템하의 동인별 고객만족도에 관한 연구)

  • 홍기운;김형준
    • Culinary science and hospitality research
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    • v.6 no.3
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    • pp.119-147
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    • 2000
  • This Study is performed to research a customer satisfaction to a Franchisee on the food franchise industry. In future, the food industry will be complicated and various. So customer needs also will be complicated. Consequently. a study of customer satisfaction will be researched continuously for corresponding an industrial transfiguration and a customer variety. The result of this study, a Franchisee satisfaction on the food franchise industry is evaluated below the average. This result can be happened by the scale of food franchise industry. However actually it has caused by the lack of Franchisee management mind, the capability of head office, and the lack of competitive power. The mind of service for customer, hygiene and cleanness mind, and the lack of marketing strategies and strategic management can not be satisfied of customer. Also customer value creation can not be made. So the education training and marketing strategies for Franchisee on the food franchise industry have to be requested. And a continuous study for customer satisfaction that correspond with the characteristics of industrial classification be raised.

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The Influence of Visible Clues on Non-visible Clues in Context of Franchise Family Restaurants (프랜차이즈 패밀리레스토랑의 유형적 요소가 무형적 요소에 미치는 영향)

  • Yang, Dong-Hwi;Joo, Hyeon-Cheol;Park, Jeong-Mee
    • 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 Influence of Service Scape in Franchise Fast Food Restaurants on the Attitudes and Revisit Intentions of the MZ Generation

  • Moo-Ung SON;Seunghyeon LEE;Seong Soo CHA
    • The Korean Journal of Food & Health Convergence
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    • v.10 no.4
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    • pp.1-8
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    • 2024
  • This study investigates the impact of servicescape elements in franchise fast food restaurants on the attitudes and revisit intentions of Generation MZ. Employing a mixed-methods approach, we surveyed 231 MZ consumers across five major urban centers. Our findings reveal that ambient conditions, spatial layout, and technology integration significantly influence MZ consumers' perceptions and behaviors. Specifically, sustainability-oriented design, customizable spaces, and seamless digital integration emerged as key drivers of positive attitudes and increased revisit intentions. Furthermore, we identify important generational differences, with Gen Z placing higher importance on Instagram-worthy aesthetics and contactless service options compared to Millennials. This research contributes to servicescape theory by proposing a novel framework tailored to MZ consumers in the fast food context. It offers practical implications for franchise operators seeking to attract and retain this crucial demographic. Our study highlights the evolving preferences of younger consumers and underscores the need for adaptable servicescape strategies in the fast food industry. The results suggest that franchises investing in environmentally conscious designs, flexible spaces, and cutting-edge technology are likely to see improved customer satisfaction and loyalty among MZ consumers. Future research could explore the long-term effects of these servicescape elements on brand perception and market share within the competitive fast food landscape.