What Is The Value Of Non-Franchised Outlets
Debate often exists in the franchise sector about the issue of franchised versus company-owned (or non-franchised) outlets.
Among retail and fixed-location service franchise systems, opinion is frequently divided about the benefit and management requirements of a company-owned network within a franchise chain.
A key element in the debate is the greater organisational resources required to manage and support company-owned outlets, particularly where managers of company-owned outlets are not able to fully benefit from the outlet’s financial performance and appreciation in market value in the same manner as a franchisee.
In other words, the profit motivation of franchisees, as well as the desire to make a capital gain on the eventual sale of the business, are motivating factors rarely, if ever available to employed outlet managers.
This is the crux of franchising and on the face of it, operating company-owned outlets would seem to perpetuate the key motivational problems that franchising largely resolves.
Nonetheless, there are compelling arguments for non-franchised outlets, and these are outlined as follows:
To provide a training location… read on.
Related posts:
- Marrybrown To Open More Outlets In M’sia, Overseas Malaysia Star: Malaysia’s largest homegrown fast-food chain, Marrybrown Fried...
- Canada’s Franchised Cafe Opens In Sydney Franchising: If you want to set up a café...
- Book Vending Could Be Franchised Franchising.net.au: A new vending idea has come to Australia...
- What Will The Healthy Families Act Mean For Your Franchised Biz? HispanicBusiness.com: As the federal government addresses the economic challenges...
- Refranchising: Should You Buy In? Entrepreneur.com: Lately, more and more franchise companies are converting...
Related posts brought to you by Yet Another Related Posts Plugin.
