FRANCHISING AS BOTH A NETWORK PHENOMENON AND AN INSTRUMENT FOR THE DISSEMINATION OF KNOWLEDGE AND KNOW-HOW

This article aims to present the specifics of franchise networks, which are playing an increasingly important role in the Polish economy. We shall also look to characterize such networks as an instrument for the transfer and dissemination of knowledge and know-how among the participants of a given distribution system or client base. We shall also draw attention to the fact that although franchising is a network phenomenon, it also exhibits specific characteristics that distinguish it from the classical organizational network model. This applies in particular to the management of the transfer of the body of knowledge possessed by the network organizer under this type of system. Such knowledge management serves both to provide participants with an idea for their own business, and to possibly modify the ways of conducting or running it. This article shall endeavor to indicate that the growing popularity of franchising is determining the specific features of this form of economic cooperation among entrepreneurs.

The franchisor–franchisee relationship and customer data management in the digital era

PurposeThe digitalization of an organization implies centralizing the data collected. Nevertheless, the management of customer data in franchise networks is a delicate, complicated and little studied issue. The purpose of this paper is to investigate its challenges and the keys to success, by developing a conceptual framework resulting from a qualitative study and a literature review.Design/methodology/approachA qualitative study was carried out with around 30 franchisors, franchisees and franchise experts in the light of the General Data Protection Regulation (GDPR). The results of the qualitative study helped to clarify our theoretical framework and to position ourselves on the side of the founding theories of relationship marketing. A research model was then defined and tested using a quantitative survey administered to a total sample of 192 franchisors and franchisees.FindingsThe results of the various studies show that relationship quality, through inter-organizational commitment, explains the achievement of marketing performance in franchise networks. In addition, the place of relationship quality depends on four essential variables: inter-organizational communication, franchisee autonomy, technical and human resources and contractualization of customer data management.Originality/valueThis study focuses on a topic that has received very little attention, particularly in franchise networks. It uses a mixed-methods design that has enabled the identification of key variables contributing to the achievement of marketing and sales performance in a data management context.

The Choice Of Place And Product Availability To Retail Business Continuity

The research aims to know whether retail business can struggle against the situation nowadays. Ones of the most important factors when running a business are location and product availability. One of the largest franchise networks in Indonesia is PT. Lion Super Indo (Superindo Stores). The research was conducted in two Superindo stores located in Bekasi Timur Sub-district by giving questionnaires to 200 respondents/consumers. The research methodology used was descriptive quantitative and multiple linear regression analysis. The results of this study are that Choice of Place variable has a negative and no significant effect on Business Continuity while Product Availability variable has a positive and significant effect on Business Continuity. The uniqueness of this study is that Business Continuity variable can be affected by Product Availability variable of 4.7% of the other factors.

The pandemic impact on franchising

Mid-March 2020 made adjustments in all areas of our normal lives. All spheres of the world economy suffer from huge losses. This results in inevitable changes that should be made quickly and appropriate measures requiring their immediate implementation. Absolutely all countries suffer from COVID-19 pandemic consequences and its devastating impact on all areas of the national economy. The franchising field is not the exception. According to statistics, the largest number of franchises of the service sector, which is the most one suffering from the introduction of strict quarantine measures. The lack of permission for full-fledged work, as in the pre-quarantine period, left some networks without any revenue at all. This was the impetus for changing the formats of franchises, if possible, or for their complete closure. After all, not all franchisors could pay royalties at low earnings, and some even had to face their complete absence. Therefore, closing for some formats was the best solution. Those who managed to preserve the format, with possible changes, faced a new reality, where it was necessary to take into account not only the interests of consumers, but also the new quarantine rules. That is why the analysis of franchising during the pandemic is very important. The work of franchising during COVID-19 pandemic, quarantine and post-quarantine measures are analyzed in this paper. Their direct influence on the work organization is analyzed as well. Analysis of the potential entrepreneurs readiness to buy franchise in comparison with the purchase of ready-made business model and starting your own business from scratch is carried out. The main world directions where it is important to open and develop franchise networks to be relevant and in demand are identified. It is considered how domestic networks respond to the quarantine measures, which anti-crisis means are used for their enterprises, which new formats are set up on the basis of the main enterprises. The loyalty of some franchisors and their anti-crisis measures for the franchisee are also investigated. The loyalty of some owners makes it possible to maintain their network in economically difficult times.