The factors that determine franchising intensity: An analysis in an emerging economy

Villanueva, Cesario Armando Flores; Ramírez, María Del Carmen Gaytán

doi:10.1002/tie.22173

Cited by 5 publications

(2 citation statements)

References 73 publications

(146 reference statements)

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“…Microlevel studies on international franchising examine the internal capacity factors that contribute to franchise expansion overseas (Aydin and Kacker 1990; Eroglu 1992; Huszagh, Huszagh, and McIntyre 1992; Alon 2006; Baena and Cerviño 2014; Grewal et al 2011; Fladmoe‐Lindquist and Jacque 1995; Flores Villanueva and Gaytán Ramírez 2020). The factors that determine franchising intensity: An analysis in an emerging economy.…”

Section: Literature Reviewmentioning

confidence: 99%

Migrant Density, Migrant Diversity, and International Franchising: A Knowledge‐Based Perspective

Mornah,

Erenay

2024

Thunderbird Intl Bus Rev

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This paper explores how migrant density and diversity influence international franchising through a knowledge‐based perspective. Using data from the World Franchise Network and U.N. immigration statistics from 1993 to 2013, the study finds that higher migrant density positively impacts international franchising activities, suggesting that a substantial presence of migrants facilitates knowledge transfer and network benefits. Conversely, migrant diversity tends to have a negative effect, indicating potential challenges in harmonizing diverse knowledge bases. However, this diversity can also enhance the positive impact of migrant density on franchising, as it enriches the cultural and knowledge pool. These findings suggest that firms can leverage migrant communities for international franchising success by tapping into their networks and expertise, and that immigration policies could be tailored to support this dynamic. Managers should consider engaging with migrants to navigate cultural nuances and market entry barriers in foreign territories.

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Section: Literature Reviewmentioning

confidence: 99%

Migrant Density, Migrant Diversity, and International Franchising: A Knowledge‐Based Perspective

Mornah,

Erenay

2024

Thunderbird Intl Bus Rev

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“…When there are not many resources to be displayed (such as a full product development or franchise size and wide actuation, for example) in micro-franchise chains, the franchisor may offer their brand as a ballast of trust and risk reduction. This is especially because brand value is something that franchisees consider when looking for a franchisor in emerging economies (Villanueva and Ramírez, 2020).…”

Section: Resource Scarcity Theory Branding and Franchisingmentioning

confidence: 99%

Franchisor support and brand value empowerment of micro-franchisees: a Brazilian market perspective

Melo

Cunha

Telles

2021

JEEE

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Purpose The purpose of this paper is to understand the relationship between franchisee support and brand value in micro-franchise chains. This study aims to understand the importance of value delivery in support to the micro-franchisee aiming at increasing brand value. Design/methodology/approach The sample was composed of 148 micro-franchisees belonging to 70 chains located in Brazil. The questionnaire aimed to verify the franchisee’s degree of concordance with the support and brand value provided by the franchisor through a Likert scale. The questionnaire structure comprised of ten metrics associated with franchisee support, four metrics associated with the brand value perception and four potentially intervenient metrics. A regression analysis was carried out to confirm the results for the factor analysis, assuming that the three factors associated with support as independent variables and the brand factor as a dependent variable. Findings The three factors related to franchisee support were found to be significant predictors of brand value. Based on the values of the coefficients, it is possible to infer the positive nature of the association. An increase in franchisee support leads to an increase in the franchisee perception about brand value. The positive effect of training and franchisor’s support in prospection and installation improvement on the brand value evaluation by franchisees was supported by the statistical analyses conducted. Research limitations/implications This research complements the studies on brand citizenship behavior and franchisee brand commitment; the greater the support provided to the micro-franchisee, the greater its commitment to the brand values of the chain. This contribution is critical because we deal with micro-enterprises in a business environment with an intense resource scarcity. These aspects place restrictions on the delivery of support and brand value in these franchise chains. Practical implications Structured support plans and greater approximation with franchisees seem to be alternatives for this perception of value to be increased in micro-franchise chains. The attractiveness of a micro-franchise chain can be enhanced if the franchisor is able to show to its potential micro-franchisees that it offers adequate support for its business; and also for the capture of new micro-franchisees. Social implications The social implications aimed at entrepreneurs with low financial expenditure. The sustainability of these businesses is highly relevant in the case of emerging markets given the high rates of unemployment and informality. Hence, micro-franchises become one of the means for micro-entrepreneurs to enter the job market. Originality/value When dealing with micro-franchises, there is an intensification of this scarcity of resources due to the smaller amount captured by the franchisor, as well as the lower technical level found in the franchisees. The relationship between brand value and the perceived level of support and the consequent franchise satisfaction with the chain in franchises, symbolized by brand citizenship behavior, is still little studied, and there are promising new studies, especially on the different types of franchises.

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Role of employee personality traits in job performance in the restaurant food franchise context

Ahn

2023

International Journal of Hospitality Management

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The factors that determine franchising intensity: An analysis in an emerging economy

Cited by 5 publications

References 73 publications

Migrant Density, Migrant Diversity, and International Franchising: A Knowledge‐Based Perspective

Migrant Density, Migrant Diversity, and International Franchising: A Knowledge‐Based Perspective

Franchisor support and brand value empowerment of micro-franchisees: a Brazilian market perspective

Role of employee personality traits in job performance in the restaurant food franchise context

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