Asymmetry in the Franchisor/Franchisee Relationship

Jenny Buchan
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Jenny Buchan: University of New South Wales

Chapter Chapter 6 in Franchisees as Consumers, 2013, pp 85-100 from Springer

Abstract: Abstract The seemingly intractable problem of asymmetry bedevils relationships where one party holds far more of almost everything than the other. This chapter explores the many faces of asymmetry within franchise relationships: information, adviser, education and regulator, risk and reward, resource, contract and regulatory asymmetry. It identifies how they conspire to perpetuate the imbalances between franchisors and franchisees. Within the context of asymmetry, impediments to franchisees’ ability to conduct due diligence are discussed.

Keywords: Trade Practice; Franchise System; Finance Committee; Franchise Contract; Disclosure Document (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-1-4614-5614-8_6

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DOI: 10.1007/978-1-4614-5614-8_6

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