What to Expect After the Honeymoon: Testing a Lifecycle Theory of Franchise Relationships

Blut, Markus; Backhaus, Christof; Heußler, Tobias; Woisetschläger, David M.; Evanschitzky, Heiner; Ahlert, Dieter

doi:10.1016/j.jretai.2010.06.003

Cited by 86 publications

(94 citation statements)

References 61 publications

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“…However, Blut et al (2011) find that this life-cycle configuration may not extend to other inter-organizational arrangements that differ from those based on traditional buyer-seller relationships, such as franchisor-franchisee relationships. These researchers, in contrast to the life cycle theory, suggest that relational constructs in the franchise context may follow a U-shaped curve over time, with a "honeymoon" initial phase, following stages of "routine," "crossroads," and "stabilization.…”

Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 74%

“…Following the work of Blut et al (2011), this study operationalizes the measure of financial performance using the informant's perceived performance rather than objective measures of performance. Accordingly, it also focuses on the franchisee's perception of sales growth and profitability in order to measure perceived financial performance.…”

Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 99%

“…As the relationship matures, the ties between partners strengthen, thus increasing their interdependence (Blut et al, 2011). Life-cycle theory has produced empirical results that suggest that numerous relational variables follow an inverted U-shaped curve (Jap & Anderson, 2007).…”

Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 99%

“…Literature in relationship marketing, under the traditional lifecycle theory (Blut et al, 2011;Dant & Nasr, 1998;Dwyer et al, 1987), sees relationships in franchises following an ascendant curve, in which relationship quality and performance strengthen over time and relationship variables are potentially affected by relationship duration (Jap & Anderson, 2007). In fact, buyer-seller relationships are the base for the traditional relationship lifecycle theory, whose study first originated in the U.S. during the early 1980s, initially focusing on the distribution channels approach and, later, on the buyer-supplier relationship.…”

Section: Introductionmentioning

confidence: 99%

“…Most studies in the marriage context suggest a U-shaped pattern, with high marital happiness in the early years of marriage, a decline in marital happiness during the middle years, and a rise in marital happiness in the later years (VanLaningham, Johnson, & Amato, 2001). Blut et al (2011) propose that relationships in franchise systems follow a similar logic to the U-shaped curve of marriage contexts. This alternative pattern would explain the evolution of relational variables in franchising better than the traditional lifecycle theory.…”

Section: Introductionmentioning

confidence: 99%

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Franchisor-Franchisee Relationship Quality: Time of Relationship and Performance

Varotto

Parente

2016

Rev. adm. empres.

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Franchise literature disputes how the relationship between franchisors and franchisees develops over time. Traditional lifecycle theory views relationships following an ascendant curve, in which relationship quality and performance strengthen over time. Another perspective better reflects the peculiarities of the franchisor-franchisee relationship, indicating that relationship quality in franchise systems follows a U-shaped curve. There is also limited research on the moderating effect of time on the relationship between relational variables and outcomes. This study sheds light on the influence of relationship duration on relationship quality and financial performance in the franchisee-franchisor relationship. Using a self-report survey from a sample of 342 franchisees, mean and regression analyses are conducted to test relationships. Results confirm the time effect on franchisor-franchisee relationship quality and performance, but the hypothesized shape of relationship phases is only partially confirmed. Moreover, time has a positive moderating effect on the impact of relationship quality on financial performance.

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Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 74%

Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 99%

Section: Literature Review and Proposed Hypotheses Franchising And Rementioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 3 more Smart Citations

Franchisor-Franchisee Relationship Quality: Time of Relationship and Performance

Varotto

Parente

2016

Rev. adm. empres.

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Franchising

Evanschitzky

2015

Wiley Encyclopedia of Management

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Franchising is a contractual business arrangement between franchisor and franchisees that combines efficient back‐office operations provided by a franchisor with effective customer‐facing activities managed by the individual franchisee. It is considered a hybrid form of organization and is believed to evolve over time. Franchisees are considered entrepreneurs that run their own business and have certain rights, notably, the right to set their own prices. Franchise systems often employ a multi unit franchising strategy and operate as so‐called plural form. A key managerial challenge for franchise systems is to balance tight control of franchisees with allowing them sufficient autonomy to capitalize on their local knowledge and entrepreneurial motivation.

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Consumer relationship fading

Evanschitzky

Brady

Rabbanee

et al. 2020

Psychology and Marketing

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This paper explores the phenomenon of consumer relationship fading with a series of three adjacent studies. Analyzing two longitudinal behavioral datasets, Study 1 shows that about 1/3 of the relationships could be described as fading. Drawing on prior work in the marriage disaffection literature, Study 2 defines relationship fading for the consumer marketing context as a process of gradual decline in consumers' intention to continue their relationship with a brand, generally manifested in negative feelings towards the brand, diminishing frequency and/or volume of transactions with it, and initiation of switching intentions. It further identifies disillusion, disaffection, and crossroads as three distinct fading stages, and outlines boundary conditions. Study 3 observes relationship fading through a diary study approach and finds attitude movement in both positive and negative directions between the stages. Further, while positive attitudes generally decline over the course of the fading trajectory, negative emotions peak at the penultimate fading stage and then level off at the final, crossroads stage. By defining and analyzing consumer relationship fading, we improve understanding of an under-researched, large segment of consumers.

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What to Expect After the Honeymoon: Testing a Lifecycle Theory of Franchise Relationships

Cited by 86 publications

References 61 publications

Franchisor-Franchisee Relationship Quality: Time of Relationship and Performance

Franchisor-Franchisee Relationship Quality: Time of Relationship and Performance

Franchising

Consumer relationship fading

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