• Title/Summary/Keyword: franchised agency

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The Effect of Conflict with the Apparel Manufacturer on Satisfaction of the Frsnchised Agency in the Apparel Industry

  • Jung, Chan-Jean;Kim, Soo-Jin;Ju, Seong-Rae
    • The International Journal of Costume Culture
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    • v.3 no.1
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    • pp.41-52
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    • 2000
  • The Purposes of this study ar (1) to identify types and levels of channel conflicts between an apparel manufacturer and a franchised agency, (2) to investigate the effect of economic dependence on conflicts, and (3) to examine the effect of conflicts on satisfaction in a franchised agency's perspective in distributive channel of Korean apparel industry. For this study, questionnaires were administered to the owner or manager of 300 franchised agencies. Employing a sample of 209, data were analyzed by using means, factor analysis, pearson correlation and multi-regression analysis. Major findings are as follows: 1) Types of conflicts between apparel manufacturers and franchised agencies are identified as goal divergence, difference in perception, ineffective communication and lack of role clarity. The highest level of conflicts are lack of role clarity, followed by goal divergence, difference in perception and ineffective communication. 2) Economic dependence leads to channel conflicts in part. Greater levels of economic dependence foster greater conflicts such as lack of role clarity and lower conflicts such as ineffective communication. 3) With respect to effect of conflict on satisfaction, the greater the levels of conflict, the lower the degree of satisfaction with ole performance and with business decision and overall satisfaction.

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An Empirical Study on the Determinants of the Proportion of Franchised Outlet in Franchise Systems (프랜차이즈시스템에서 직영점대 가맹점 비율의 결정요인에 관한 연구)

  • Kim, Hyun-Soon;Park, Ju-Young;Lim, Young-Kyoon
    • Journal of Information Technology Services
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    • v.9 no.4
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    • pp.1-18
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    • 2010
  • Plural governance system in which firms use vertical integration and market governance simultaneously are widely used across various marketing context. Typical examples of plural governance include franchise systems, in which firms own and operate some unit themselves while licensing the operation of some of their units to franchisees. Despite many scholars have attempted to explore the structure of plural governance over decades, there are few insights into its determinants. In this study, we examine the relationship between the proportion of outlets franchised and several franchisor's characteristics based on the perspectives of transaction cost analysis, resource scarcy theory and agency theory. Using franchisor data in Korean Franchise Disclosure Document over the 2006-2009 period, we test the effect of franchisor size, system growth rate, franchise fee, initial investment, and risk sharing on the proportion of outlets franchised. Except for the effect of system growth rate, the results of a series of multiple regression analysis supported the negative effects of franchisor size, franchise fee, initial investment and risk sharing on the proportion of outlets franchised.

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.