Franchising
Franchising is s business system in which a company (franchisor) sells an individual (franchisee) the right to operate a business using the franchisor’s established system or format.
As part of the franchise agreement the franchisee pays an initial sum of money, a franchise fee or front end fee, to the franchisor and agrees to pay a royalty or management services fee for continuing advice and assistance, which is usually calculated as a percentage of annual turnover
Businesses for which franchising work best have one or several of the following characteristics[
A good track record of profitability
Ease of duplication
Detailed systems, processes and procedures
A unique or unusual concept
Broad geographic appeal
Relative ease of operation
Relatively inexpensive operation.
As practiced in retailing, franchising offers franchisees the advantage of starting up business quickly based on a proven trademark, and immediate access to the tooling and infrastructure, as opposed to having to develop them.
- Company Structures
- Functional structure
- Divisional structure
- Matrix structure
- Recruitment
- Retailing
- Franchising
- International Business Styles
- Banking
- Business and the Environment
- The Stock Market
- Import Export
- Company Performance
- Presentations
- Setting up a business
- If you want to set up a business, you will have to write a business plan.
- Corporate Alliances and Acquisitions
- Marketing
- Product and corporate advertising
- The business media