Is bigger better? : The anticipation of scale efficiencies and decision participation as motivations for aspiring multi‐unit franchisees
International Journal of Entrepreneurial Behavior & Research
ISSN: 1355-2554
Article publication date: 1 June 2002
Abstract
This paper explores from a US perspective two size‐related issues that may motivate aspiring franchisees to consider multi‐unit franchising as a superior alternative to the traditional single‐unit approach. First, one of the reasons for multi‐unit franchising might be the enhanced influence opportunity upon the franchisor’s decision making that arises from owning multiple outlets. Second, a potential franchisee may be interested in engaging in multi‐unit franchising in the anticipation of scale efficiencies, i.e. efficiencies that arise because of the size of the operation. The managerial relevance of the discovered issues and their potential for future research is outlined.
Keywords
Citation
Grünhagen, M. and Mittelstaedt, R.A. (2002), "Is bigger better? : The anticipation of scale efficiencies and decision participation as motivations for aspiring multi‐unit franchisees", International Journal of Entrepreneurial Behavior & Research, Vol. 8 No. 3, pp. 188-200. https://doi.org/10.1108/13552550210436512
Publisher
:MCB UP Ltd
Copyright © 2002, MCB UP Limited