• The Korean Journal of Franchise Management
• /
• v.15 no.2
• /
• pp.39-56
• /
• 2024

Purpose: Delivery food continues to grow. In the past, restaurant companies directly hired delivery workers to deliver food, but now, restaurant companies use delivery service platform companies to carry out delivery work rather than directly hiring delivery workers. Therefore, this study seeks to determine the impact of delivery food benefits in the restaurant industry on brand image, trust, and word-of-mouth intention. Research design, data, and methodology: To test the hypotheses of this study, 400 questionnaires were distributed and 340 were collected. Among these, 321 questionnaires, excluding 19 questionnaires that were answered insincerely, were used in the final analysis. Result. First, delivery food benefits were found to have a significant impact on brand image and trust. Second, brand image was found to have a significant effect on trust and word-of-mouth intention. Third, trust was found to have a significant effect on word-of-mouth intention. Conclusions: First, existing research focused on studying the attributes of delivery food in the restaurant industry, but this study studied the benefits that consumers can obtain through purchase among these attributes. Second, delivery food restaurants need to design promotions and advertisements in a way that displays coupons, points, or mileage. Third, quick delivery of orders can be a competitive advantage for delivery food restaurants.

• Culinary science and hospitality research
• /
• v.14 no.1
• /
• pp.39-55
• /
• 2008

The characteristics of preliminary founders has taken a part in deciding the structural elements of Franchise headquarters in the food service industry. Thus this study tries to show how preliminary founders have an impact on structural elements in franchise headquarters through demonstrative research on intention of contracting by characteristics of preliminary members. The result shows that the experience factor of a preliminary owner has significant relationships with the structural elements of headquarters. It was analyzed that the structural elements of franchise headquarters such as expert consulting, training support and use of sales guide influence contract intention. The characteristics of the preliminary founders have a major impact on investment, financing, expert consulting, educational support, and untilization of business guideline. The structural elements have a major impact on contract intention.

• Journal of Distribution Research
• /
• v.16 no.1
• /
• pp.1-27
• /
• 2011

I. Introduction: This study is to examine the structural relationships among exogenous variable (preliminary and post-support, franchisee's perceived business possibility, communication, moral hazard), the mediated variables(satisfaction, perceived risk, trust) and dependent variable(recontracting intention) in the food service franchise industry context. More specifically, this study has considered some realistic characteristics factors influencing satisfaction, perceived risk and trust between franchisors and franchisees and their further recontracting intention from the perspective of a practical approach. In this study, 437 data has been collected and used for the SPSS and AMOS analysis. The data were analyzed with structural equation modeling. Since the result of the overall model analysis demonstrated a good fit, we could further analyze our data. II. Research Model: This study is to examine the structural relationships among preliminary and post-support by franchisor, franchisee's perceived business possibility, and communication, moral hazard, has on effect on franchisee's satisfaction, perceived risk, trust and recontracting intention in the food service franchise industry context. Hypotheses are as following (Stern & EL-Ansary 1988; Oliver, 1997;Kee & Knox, 1970; Moorman, Deshpande & Zaltman, 1993; Perron, 1998; Zaheer, McEvily, Perrone, 1998). III. Result and Implication: We examined franchisee who have food service stores for samples of this study. The data were analyzed with structural equation modeling using path analysis. The result of the overall model analysis appeared as following: ${\chi}^2$ = 61.578 (d.f.=9, p<0.01), CFI =.990, GFI =.973, AGFI =.863, RMR =.019, RMSEA= .116, NFI = .988, TLI = .959. The findings can be summarized as follows: First, preliminary and post support of franchisor, perceived business possibility and communication positively influence to franchisee's satisfaction. Second, moral hazard of franchisor has negatively influence to franchisee's satisfaction and positively influence to perceived risk. Third, franchisee's satisfaction and trust has positively influence to recontracting intention. Fourth, franchisee's perceived risk has negatively influence to trust and recontracting intention. We can concluded that franchisor's preliminary and post support of franchisor, perceived business possibility and communication may be considered as the important factors influence to franchisee's satisfaction. Moral hazard has become a focused issue in franchise industry. Finally, the managerial implication has been stated as followings: First, in the process of building a systematic industry support franchise system and developing a creative business model, franchisee's stable profitability should be considered as the first important factor. The franchisee's trust to franchise may become a dominant factor that influence the business expansion of franchisor. Second, franchisor should communication with their franchisees and deal with the realistic difficulties faced by them with an effort. Third, the franchisor should achieve a synergy effect by utilizing the win-win strategy. The moral hazard strategy that achieving the profit through franchisee's damage will not be inadvisable to franchisor. Then the long-term oriented development and profitability can be maintained. To do so, the franchise industry may break away from the traditional business structure to improve management transparency and competitiveness on investment and organizational changing management. The conflict between franchisor and franchisee also can be reduced and big success can be achieved in the franchise industry.

• The Korean Journal of Franchise Management
• /
• v.12 no.1
• /
• pp.45-55
• /
• 2021

Purpose: How to build the positive emotion of customer is very important, because it affects the positive attitude. Brand evidence has a significant impact on consumer behavior in terms of reinforcing consumers' perception of food service companies and differentiating them from competing brands. Thus, this study examines the effect of brand evidence on emotion (positive emotion and negative emotion), and attitude in restaurant industry. Research design, data, and methodology: This study examines the structural relationship among brand evidence, emotion, and attitude. Brand evidence divide into three sub-dimensions such as physical evidence, core service, and employee service. In order to test the purposes of this study, research model and hypotheses were developed. The questionnaire items were modified and used according to the content of this study based on previous studies. All constructs were measured by multiple items tested and developed in the previous research. The data were collected from 439 restaurant users from Seoul area were analyzed using SPSS 22.0 and SmartPLS 3.0 program. A total of 460 questionnaires were distributed and a survey was conducted for 4 weeks, and a total of 439 were used for analysis, excluding non-response data and 21 unusable response data among the collected questionnaires. Frequency analysis was conducted to identify the general characteristics of the survey subjects. To measure the reliability and validity of the measurement tools, confirmatory factor analysis was conducted. Structural model analysis was conducted to verify the research model. Result: The findings demonstrate that physical evidence, core service, employee service had positive effects on positive emotion. And core service and employee service had negative effects on negative emotion while physical evidence did not have. Also, positive emotion had positive effect on attitude and negative emotion had negative effect on attitude. Conclusions: The findings of this study provide guidelines on how to enhance competitiveness in restaurant industry through understanding brand evidence's effects on raising perceived consumer's emotion and attitude. Therefore, food service companies should establish a marketing strategy that can stimulate positive emotions through brand evidence, which is all factors related to service brands that influence consumers' evaluation of service products and purchase decision-making process.

• Journal of Distribution Science
• /
• v.12 no.4
• /
• pp.11-22
• /
• 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.

• The Korean Journal of Franchise Management
• /
• v.12 no.4
• /
• pp.13-23
• /
• 2021

Purpose: This study aimed to derive clues for the franchise industry to overcome difficulties such as various legal regulations and social responsibility demands and to continuously develop by analyzing the research trends related to franchises published in Korea. Research design, data and methodology: As a result of searching for 'franchise' in ScienceON, abstracts were collected from papers published in domestic academic journals from 1994 to June 2021. Keywords were extracted from the abstracts of 1,110 valid papers, and after preprocessing, keyword analysis, TF-IDF analysis, and topic modeling using LDA algorithm, along with trend analysis of the top 20 words in TF-IDF by year group was carried out using the R-package. Results: As a result of keyword analysis, it was found that businesses and brands were the subjects of research related to franchises, and interest in service and satisfaction was considerable, and food and coffee were prominently studied as industries. As a result of TF-IDF calculation, it was found that brand, satisfaction, franchisor, and coffee were ranked at the top. As a result of LDA-based topic modeling, a total of 12 topics including "growth strategy" were derived and visualized with LDAvis. On the other hand, the areas of Topic 1 (growth strategy) and Topic 9 (organizational culture), Topic 4 (consumption experience) and Topic 6 (contribution and loyalty), Topic 7 (brand image) and Topic 10 (commercial area) overlap significantly. Finally, the trend analysis results for the top 20 keywords with high TF-IDF showed that 10 keywords such as quality, brand, food, and trust would be more utilized overall. Conclusions: Through the results of this study, the direction of interest in the franchise industry was confirmed, and it was found that it was necessary to find a clue for continuous growth through research in more diverse fields. And it was also considered an important finding to suggest a technique that can supplement the problems of topic trend analysis. Therefore, the results of this study show that researchers will gain significant insights from the perspectives related to the selection of research topics, and practitioners from the perspectives related to future franchise changes.

• Culinary science and hospitality research
• /
• v.21 no.6
• /
• pp.264-279
• /
• 2015

This study is conducted to investigate the relationships among service quality, satisfaction, and revisit intention of franchise snack bars customers located in Busan. The quality of franchise Korean snack bars' service was estimated by examining three sub-dimensions: service environment factors, interaction factors, and outcome quality factors, which are classified from Brady & Cronin's third-dimensional model. The survey was performed from March 9th to March 13th in 2015. Total 300 questionnaires were distributed and 272 questionnaires were employed for final analysis. SPSS 21.0 program was used to derive the following: factor analysis, reliability analysis, correlation, simple regression and multiple regression analysis. In results, the approachableness such as convenience for access was the most important reason when people choose a franchise Korean snack bar company followed by food taste and reasonable price. In addition, the results indicate that service environment quality, interaction quality, and outcome quality have all positive impact on the customers' satisfaction as well as revisit intention. Specifically, outcome quality have the greatest influence on the satisfaction and revisit intention among three service quality factors. This outcome proves that Korean snack bar franchise companies need to investigate more to improve their outcome quality such as food quality and serving time to satisfy customers. In conclusion, current study confirmed the relationships among service quality, satisfaction, and revisit intention in context of franchise snack bar stores. These results will suggest the snack bar foodservice segmentation as valuable marketing strategic, and that it can be utilized as a fundamental data to establish an efficient business plan in the industry.

• The Korean Journal of Franchise Management
• /
• v.13 no.2
• /
• pp.1-15
• /
• 2022

Purpose: The globalization of the Korean restaurant franchise industry differs from the business performance of enhancing the brand image and customers' intention to revisit depending on the degree of localization marketing. Therefore, it is necessary to consider the extent to which the localization marketing activities of overseas Korean restaurant franchise companies affect the customer's perception. This study aims to investigate the effects of localization marketing (Localized Menu, Localized Price, Localized Service Experience, Localized Promotion, Localized Physical Environment) of Korean restaurant franchise companies on customer revisit intention. Research design, data, and methodology: For this study, 150 questionnaires using local Korean restaurants in Beijing, China, were analyzed using SPSS Ver.21 and AMOS Ver.22. Result: It was confirmed that the localized menu, localized service experience, and localized physical environment all affect the intention to revisit customers. Based on these verification results, if overseas franchises fully recognize localization marketing, which is an important factor for local business success, and establish localization strategies, they can gain an edge in competition with local Korean restaurants or restaurant franchises founded by locals. There may be a higher probability that However, it was found that localization price and localization promotion had no mediating effect of brand image between revisit intention and revisit intention. It was found that it had no effect on the degree of inquiry and had a negative effect. Conclusions: Due to the impact of the COVID-19 pandemic, there have been many changes in the domestic and overseas food service industry over the past two years. Therefore, in future research, it is necessary to study the localization of overseas Korean restaurant franchise companies that are more multidimensionally subdivided. Various measures of customized localization marketing for optimal regional characteristics should be developed and applied to enhance customer revisiting and brand image of Korean restaurant franchise companies entering overseas. In the future, this study will be meaningful data for the establishment of localization marketing (Localized Menu, Localized Price, Localized Service Experience, Localized Promotion, Localized Physical Environment) strategies for Korean restaurant franchise companies that consider overseas expansion or have already entered.

• Culinary science and hospitality research
• /
• v.13 no.3
• /
• pp.20-32
• /
• 2007

This study investigates the satisfaction with the supply-supplying system and the kitchen operation for the main menu in the food service industry, expecially in the franchisor-franchisee relation. In order to accomplish this purpose of the study, it examines the research on the franchise food industry in terms of research methods and surveys experimental research actually. The total 600 copies of survey had been gathered and 278 copies were used to get the purpose of this study. The SPSS 12.0 version was used to analyze the data. The finding suggests that pork is the very essential material of the supply-supplying system on all kitchen operation of cooking quality, management system, physical supplying system, prime cost and the food hygiene. Comparing results of mean statistic, pork shows much higher mean point than that of chicken on the kitchen operation efficiency. Also, the franchisees will give more satisfaction with main menu using pork than the menu using chicken on the recharter intention.

• The Korean Journal of Franchise Management
• /
• v.9 no.1
• /
• pp.41-51
• /
• 2018

Purpose - In franchise system, how to build the relationship between the franchisor and franchisee through influence strategy is very important, because it affects on the long-term orientation like recontract intentions. Thus, this study examines the effect of mandatory influence strategy on relationship satisfaction, relationship trust, and recontract intentions in the context of food-service franchise industry. This study suggests the guidelines on how franchisor uses their influence strategy on franchisee to maintain and increase the recontract intentions. Research design, data, and methodology - This study examines the structural relationship between mandatory influence strategy, relationship satisfaction, relationship trust, and recontract intentions from the franchisee's perspective. Mandatory influence strategy divide into three sub-dimensions such as request, legalistic plea, threat. In order to test the purposes of this study, research model and hypotheses were developed. Every constructs were measured by multiple items tested and developed in the previous research. Also, the constructs utilized in this research are measured using 7-point scales anchored by "1=strongly disagree" and 7=strongly agree". The data were collected from 496 owner and owner manager franchisees and were analyzed using SPSS 21.0 and Smart PLS 3.0. program. Analysis of frequency was conducted to identify the demographics and general characteristics of the survey subjects. In order to measure the reliability and validity of the measurement tools, confirmatory factor analysis and correlation analysis were conducted and structural model analysis was conducted to verify the proposed research model. Result - The results of this study are as follows. First, this research found that mandatory influence strategy is positively related to relationship satisfaction and relationship trust, but not to recontract intention directly. Second, this research also found that the full mediating role of relationship satisfaction and relationship trust between the mandatory influence strategy and recontract intention. Conclusions - The findings of this research indicate that franchisor should use properly mandatory influence strategy to improve recontract intentions through relationship satisfaction and relationship trust. Due to the nature of food-service franchise industry, which needs high relationship quality, franchisor must manage their franchisee using influence strategy in order to improve satisfaction and trust. If franchisee perceives higher relationship quality, they will show higher intention to recontract. At the end of this paper, limitations and future research directions were suggested.