., 2014), understanding the determining factors in franchisees’ performance is critical to evolving policies and practices that improve the performance of the entire franchise system and for a satisfactory and sustainable franchise relationship. Second, findings of this study will be a useful resource for intending franchisees. The study provides deep insights into issues in franchise units’ performance, thereby informing prospective franchisees on the important factors to consider prior to joining a particular franchise system. It is expected that the findings of this study will inspire prospective franchisees to do more due diligence and carry out good background checks on the contract terms, types and quality of services provided by franchisors, as well as other issues that have been explored in this study. In the same vein, existing partners that desire to reevaluate their partnership will also find this study useful. Scholars have noted that many franchise agreements are formed based on good chemistry (Doherty et al ., 2014), but rationality and due diligence have been found to be very critical for achieving success in franchise business (Frazer, Weaven, Giddings, & Grace, 2012). Findings of this study will facilitate rational and informed
decision by both parties with regards to whether it is wise and beneficial to continue business relation with each other. Third, findings of this study is a potentially resourceful policy tool for both non- governmental organizations (NGOs) and public sector promoters of self-employment and SMEs in Nigeria. Given that franchising has been confirmed to be useful in developing SMEs (Alharbi, 2014; Binh & Terry, 2013), it is expected that this study will raise awareness on the option of franchising in this regard. The management strategies proffered in this study will potentially help in increasing the number and quality of franchised SMEs in Nigeria.
You've reached the end of your free preview.
Want to read all 5 pages?
- Summer '17