lit review

Running Head : Franchisor-Franchisee Relationship and Impact on the Franchise Name

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Literature Review

Introduction

According to Bordonaba-Juste and Polo-Redondo (2008 ) entering a franchise is similar to entering a binding relationship . A franchise is requires that the participants commit their time , resources and energy to the franchise . After all franchising is based on agreement between the franchisor and franchisees and the success of the franchise depends on the commitment and the extent to which the parties abide with the agreement . The US is

among the few countries in the world in which franchising is regulated by state and federal laws (Grandner , 2006 This literature reviews works that are relevant to the franchisor-franchisee relationship and the influence of the relationship on the success or longevity of the business . Specifically , a critical analysis is done on the particular behaviors which predict the success or failure of the franchise in the ongoing relationship

Factors that affect the satisfaction levels in the franchisor- franchisee relationship

The success of the franchisor-franchisee relationship requires commitment in which both parties should uphold the agreement to the end of the bargain (Grandner , 2006 .This warrants that there should be a contract guiding this relationship . The contract states all the terms of the business and in case of any disagreements or diversions the involved parties can always refer to the contract . The contract guides the franchisor and franchisee into understanding the boundaries of the franchise operation . Considering that it is the franchisor who directs the contract , the...