Cooperative arrangements among entrepreneurs: An analysis of opportunism and communication in franchise structures

Gassenheimer, Jule B.; Baucus, David B.; Baucus, Melissa S.

doi:10.1016/0148-2963(95)00164-6

Cited by 186 publications

(169 citation statements)

References 26 publications

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“…Franchisors as well franchisees may behave opportunistically. Franchisors may overrun franchisees´ markets, terminating contracts before the time assigned or misrepresenting costs, and franchisees may pursuit their private goals in detriment franchisor goals, misrepresent revenues, withhold royalties, and deviate from franchisor patterns, among other possibilities (Gassenheimer, Baucus, & Baucus, 1996).…”

Section: Transaction-cost Analysismentioning

confidence: 99%

Evolution in franchising: Trends and new perspectives

Varotto

Aureliano-Silva

2017

Internext

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The Singer Company established a network of resellers for sewing machines. Nowadays franchising is one of the fastest developing forms of business in the world. The evolution of theories that seek to explain franchise systems have been published in academic journals from time to time, but until now there was not a study that have established a social network analysis to quantify the degree of centrality and cohesion of the relationship between the main authors, journals, methods and theories in franchise. Therefore, the main purpose of this study is to extend the knowledge about franchising through an extensive research on its main theoretical perspectives into relevant international academic journals, showing the evolution of the field, highlighting the principal issues, authors and methods. Through a selection of 130 articles ranging from 1966 to 2015 the study investigates five relevant theories in franchising: (1) Resource Acquisition Theory, (2) Agency Theory, (3) Transaction Cost Analysis, (4) Signaling Theory, and (5) Property Rights Theory. A descriptive statistical analysis was done in order to identify the main authors and trends with the most used associated theories in franchise papers. The findings show agency theory and signaling theory, and resource scarcity theory as the main perspectives used in studies about franchising, but other perspectives have been increasing its presence, mainly the institutional theory and resource based-view perspective. The main dependent and independent variables cover a wide range of constructs, but ownership, performance, age, size, growth, geographical dispersion, and internationalization have been the most cited.

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Section: Transaction-cost Analysismentioning

confidence: 99%

Evolution in franchising: Trends and new perspectives

Varotto

Aureliano-Silva

2017

Internext

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“…Entrepreneurial characteristics, such as, opportunism, and bounded rationality, and transaction characteristics, such as, asset specificity, uncertainty and complexity, frequency and governance costs appear to be useful concepts for the analysis of the governance structures in the channel. For instance, Gassenheimer et al (1996) concluded, on the basis of an analysis of fast food franchisees in the U.S., that, "communication moderates the impact of opportunism on satisfaction," and "A significant negative relationship remains between opportunism and franchise satisfaction. "…”

Section: Industrial Organisation Theory and Marketing Channelsmentioning

confidence: 99%

Evolution of Agricultural Marketing Institutions: A Channel Approach

Meulenberg¹

1997

Agricultural Marketing and Consumer Behavior in a Changing World

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“…Franchisees are part of a franchise system with the franchisor as the umbrella organization and with fellow franchisees (i.e. peers) and possibly franchisorowned units operating under the same business format in different locations (Gassenheimer et al 1996).…”

Section: Franchisee Networking and Entrepreneurial Performancementioning

confidence: 99%

Entrepreneurial networking: a blessing or a curse? Differential effects for low, medium and high performing franchisees

2017

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Recent studies have called for a better understanding of the link between networking and entrepreneurial performance. We provide such understanding in three ways: by focusing on a specific entrepreneurial context (franchise systems), by developing a multifaceted theoretical framework and by highlighting a contingency that may affect the networkingperformance link. We combine knowledge and learning perspectives with a networking perspective to develop and test a multi-faceted framework on the effects of franchisee networking with peers within a franchise system ('peer networking') on franchisee unit performance. In particular, we argue that the performance benefits that franchisees draw from networking with their peers vary between low, medium and high performing franchisees. We use ordinary least squares (OLS) and Quantile Regression analyses to test our hypotheses with empirical data from a Dutch franchise system. Our results confirm that structural, resource and relational facets of franchisee peer networking affect unit performance, and that they benefit and harm low, medium, and high performing franchisees differently.

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Cooperative arrangements among entrepreneurs: An analysis of opportunism and communication in franchise structures

Cited by 186 publications

References 26 publications

Evolution in franchising: Trends and new perspectives

Evolution in franchising: Trends and new perspectives

Evolution of Agricultural Marketing Institutions: A Channel Approach

Entrepreneurial networking: a blessing or a curse? Differential effects for low, medium and high performing franchisees

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