Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Understanding franchisee performance

Understanding franchisee performance The purpose of this paper is to investigate the impact of participative franchising on performance from the franchisee perspective. In particular, the paper analyses the impact of the franchisee autonomy – in human resource management and marketing decisions – affective commitment to the network and network innovativeness on the franchisee relative performance.Design/methodology/approachA survey answered by 226 franchisees in France allowed to estimate a structural equations model through partial least squares regression analysis to test the hypothesised relations between autonomy, affective commitment, innovativeness and performance.FindingsAccording to the authors’ findings, franchisee’s autonomy in commercial policies, mediated by to franchisor’s ability to innovate and acknowledge innovations stemming from the franchisees, and the affective commitment to the network, emerge as strong determinants of the franchisee’s performance.Research limitations/implicationsThe results confirm the conclusions of other research, but extend and integrate them, providing evidence that the role of participative franchising should not be neglected.Practical implicationsThe results obtained provide evidence about the importance of bidirectional communication instruments in the relations between franchisor and franchisee, and participation tools for the identification, recognition and support to the innovative successful practices developed by franchisees to be quickly implemented by other franchisees in the network.Originality/valueThis paper looks at franchisee autonomy, affective commitment and innovativeness as potential determinants of franchisee’s performance, being the latter an underexplored topic. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Retail & Distribution Management Emerald Publishing

Understanding franchisee performance

Download PDF
19 pages

Loading next page...
 
/lp/emerald-publishing/understanding-franchisee-performance-gD3DwYx6e7
Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
0959-0552
DOI
10.1108/ijrdm-10-2017-0232
Publisher site
See Article on Publisher Site

Abstract

The purpose of this paper is to investigate the impact of participative franchising on performance from the franchisee perspective. In particular, the paper analyses the impact of the franchisee autonomy – in human resource management and marketing decisions – affective commitment to the network and network innovativeness on the franchisee relative performance.Design/methodology/approachA survey answered by 226 franchisees in France allowed to estimate a structural equations model through partial least squares regression analysis to test the hypothesised relations between autonomy, affective commitment, innovativeness and performance.FindingsAccording to the authors’ findings, franchisee’s autonomy in commercial policies, mediated by to franchisor’s ability to innovate and acknowledge innovations stemming from the franchisees, and the affective commitment to the network, emerge as strong determinants of the franchisee’s performance.Research limitations/implicationsThe results confirm the conclusions of other research, but extend and integrate them, providing evidence that the role of participative franchising should not be neglected.Practical implicationsThe results obtained provide evidence about the importance of bidirectional communication instruments in the relations between franchisor and franchisee, and participation tools for the identification, recognition and support to the innovative successful practices developed by franchisees to be quickly implemented by other franchisees in the network.Originality/valueThis paper looks at franchisee autonomy, affective commitment and innovativeness as potential determinants of franchisee’s performance, being the latter an underexplored topic.

Journal

International Journal of Retail & Distribution Management – Emerald Publishing

Published: Aug 7, 2019

Keywords: Affective commitment; Franchising; Innovativeness; Commercial autonomy; Franchisee performance; Managerial autonomy

References

  • Opportunistic behaviors in franchise chains: the role of cohesion among franchisees
    Akremi, A.; Mignonac, K.; Perrigot, R.
  • Using the plural form in the management of restaurant chains
    Bradach, J.L.
  • A mediation model between dimensions of social capital
    Castro, I.; Roldán, J.L.
  • A partial least squares latent variable modeling approach for measuring interaction effects: results from a Monte Carlo simulation study and an electronic mail emotion/adoption study
    Chin, W.W.; Marcolin, B.L.; Newsted, P.R.
  • Entrepreneurial teams within franchise firms
    Clarkin, J.E.; Rosa, P.J.
  • Capitalizing of franchisee autonomy: relational forms of governance as controls in idiosyncratic franchise dyads
    Cochet, O.; Dormann, J.; Ehrmann, T.
  • Franchising: a review and avenues to greater theoretical diversity
    Combs, J.G.; Michael, S.C.; Castrogiovanni, G.
  • Antecedents and consequences of franchising: past accomplishments and future challenges
    Combs, J.G.; Ketchen, D.J.; Shook, C.L.; Short, J.C.
  • Standardization versus adaptation: geographical pressures to deviate from franchise formats
    Cox, J.; Mason, C.
  • Social exchange theory: an interdisciplinary review
    Cropanzano, R.; Mitchell, M.S.
  • Entrepreneurial orientation and the franchise system: organizational antecedents and performance outcomes
    Dada, O.; Watson, A.
  • Toward a model of franchisee entrepreneurship
    Dada, O.; Watson, A.; Kirby, D.
  • A model of entrepreneurial autonomy in franchised outlets: a systematic review of the empirical evidence
    Dada, O.L.
  • The challenge of autonomy and dependence in franchised channels of distribution
    Dant, R.P.; Gundlach, G.T.
  • Ownership structure in franchising: the effects of transaction costs, production costs and strategic considerations
    Dant, S.P.
  • Franchising success: insights from real estate brokerage
    Flint-Hartle, S.; de Bruin, A.
  • Evaluating structural equation models with unobservable variables and measurement error
    Fornell, C.; Larcker, D.F.
  • The concept of personal initiative: operationalizational, reliability and validity in two German samples
    Frese, M.; Fay, D.; Hilburger, T.; Leng, K.; Tag, A.
  • Cooperative arrangements among entrepreneurs: an analysis of opportunism and communication in franchise structures
    Gassenheimer, J.B.; Baucus, D.B.; Baucus, M.S.
  • Using tournaments to reduce agency problems: the case of franchising
    Gillis, W.E.; McEwan, E.; Crook, T.R.; Michael, S.C.
  • The role of performance measurement systems in strategy formulation processes
    Gimbert, X.; Bisbe, J.; Mendoza, X.
  • Knowledge management: an organizational capabilities perspective
    Gold, A.H.; Malhotra, A.; Segars, A.H.
  • Real options, intangible resources and performance of franchise networks
    Gorovaia, N.; Windsperger, J.
  • The moderating influence of HR operational autonomy on the entrepreneurial orientation–performance link in franchise systems
    Grünhagen, M.; Wollan, M.L.; Dada, L.; Watson, A.
  • The structure of commitment in exchange
    Gundlach, G.T.; Achrol, R.S.; Mentzer, J.T.
  • Power in a channel of distribution: sources and consequences
    Hunt, S.D.; Nevin, J.R.
  • Organizational commitment and employee’s innovative behavior: a study in retail sector
    Jafri, M.H.
  • Rights and production functions: an application to labour, management, firms and co-determination
    Jensen, M.C.; Meckling, W.H.
  • Standardization and adaptation in business format franchising
    Kaufmann, P.J.; Eroglu, S.
  • Psychological empowerment as a multidimensional construct: a test of construct validity
    Kraimer, M.L.; Seibert, S.E.; Liden, R.C.
  • An empirical assessment of the nature and consequences of marketing channel intermediary commitment
    Kumar, N.; Hibbard, J.D.; Stern, L.W.
  • Partner empowerment and relationship failure in franchising
    Lopez-Bayon, S.; Lopez-Fernandez, B.
  • Antecedents of early terminations in franchising: franchisor versus franchisee cancellations
    López-Fernández, B.; López-Bayón, S.
  • Country report: France. 2016 update to the European inventory on validation of non-formal and informal learning
    Mathou, C.
  • Commitment in franchising: the role of collaborative communication and a franchisee’s propensity to leave
    Meek, W.R.; Davis-Sramek, B.; Baucus, M.S.; Germain, R.N.
  • Linkages between pricing practices in franchise chains and franchisor-franchisee and system-level outcomes
    Meiseberg, B.; Perrigot, R.
  • Influence of the operating environment on organization innovation: a multiple case study of food franchises in Brazil
    Melo, P.L.; Andreassi, T.; Junior, M.; Borini, F.M.
  • Testing the side bet theory of organizational commitment: some methodological considerations
    Meyer, J.P.; Allen, J.N.
  • A three-component conceptualization of organizational commitment
    Meyer, J.P.; Allen, J.N.
  • Commitment in the workplace: toward a general model
    Meyer, J.P.; Herscovitch, L.
  • Commitment to organizations and occupations: extension and test of a three-component model
    Meyer, J.P.; Allen, J.N.; Smith, C.A.
  • A multi-study investigation of outcomes of franchisees’ affective commitment to their franchise organization
    Mignonac, K.; Vandenberghe, C.; Perrigot, R.; El Akremi, A.; Herrbach, O.
  • Reducing turnover in franchise-based small business organizations: the role of trust, justice and commitment
    Mishra, A.K.; Mishra, K.E.; Grubb, W.L.
  • The influence of empowerment and job enrichment on employee loyalty in a downsizing environment
    Niehoff, B.P.; Moorman, R.H.; Blakely, G.; Fuller, J.
  • Mediation analysis in partial least squares path modeling: Helping researchers discuss more sophisticated models
    Nitzl, C.; Roldan, J.L.; Cepeda, G.
  • Control, autonomy and collaboration in the fast food industry: a comparative study between domestic and international franchising
    Paik, Y.; Choi, D.Y.
  • Examining control and autonomy in the franchisor–franchisee relationship
    Pizanti, I.; Lerner, M.
  • Segmenting consumer decision-making styles (CDMS) toward marketing practice: a partial least squares (PLS) path modeling approach
    Rezaei, S.
  • The theory of the firm and the structure of the franchise contract
    Rubin, P.H.
  • Partial least squares structural equation modeling (PLS-SEM): a useful tool for family business researchers
    Sarstedt, M.; Ringle, C.M.; Smith, D.; Reams, R.; Hair, J.F.
  • To stay or to go: voluntary survivor turnover following a downsizing
    Spreitzer, G.M.; Mishra, A.K.
  • The franchise relationships: entrepreneurship or dependence?
    Stanworth, J.
  • Specifying and assessing a formative measure for Hofstede’s cultural values: a Malaysian study
    Thien, L.M.; Thurasamy, R.; Abd Razak, N.
  • Relational quality and innovative performance in R&D based science and technology firms
    Thompson, M.; Heron, P.
  • Factors influencing governance choice and human resource management within services franchising networks
    Weaven, S.; Herington, C.
  • Centralization of franchising networks: evidence from the Austrian franchise sector
    Windsperger, J.
  • Reproducing knowledge: inaccurate replication and failure in franchise organizations
    Winter, S.G.; Szulanski, G.; Ringov, D.; Jensen, R.J.
  • The relationship of empowerment to teacher job commitment and job satisfaction
    Wu, V.; Short, P.M.
  • Fostering innovative behaviour: the importance of employee commitment and organisational citizenship behavior
    Xerri, M.J.; Brunetto, Y.
  • The strategy/governance structure fit relationship: theory and evidence in franchising arrangements
    Yin, X.; Zajac, E.J.
  • Measurement franchisees’ satisfaction; theoretical considerations and empirical testing
    Gauzente, C.
  • The structure of decision rights in franchising networks: a property rights perspective
    Mumdžiev, N.; Windsperger, J.