Determinants of multi-unit franchising: an organizational economics framework

Dildar Hussain (), Rozenn Perrigot (), Karim Mignonac (), Asâad El Akremi () and Olivier Herrbach ()
Additional contact information
Dildar Hussain: ESC Rennes School of Business - ESC [Rennes] - ESC Rennes School of Business
Rozenn Perrigot: ESC Rennes School of Business - ESC [Rennes] - ESC Rennes School of Business, CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique
Karim Mignonac: CRM - Centre de Recherche en Management - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - IAE - Institut d'Administration des Entreprises - Toulouse - CNRS - Centre National de la Recherche Scientifique
Asâad El Akremi: CRM - Centre de Recherche en Management - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - IAE - Institut d'Administration des Entreprises - Toulouse - CNRS - Centre National de la Recherche Scientifique
Olivier Herrbach: Institut d'Administration des Entreprises (IAE) - Bordeaux

Post-Print from HAL

Abstract: In this paper, we use organizational economics theories to explain the percentage of multi-unit franchisees within franchise chains. We use transaction cost theory, property rights view and agency theory to formulate three research hypotheses that are related to franchisees' transaction-specific investments, intangibility of system-specific assets and risk of franchisee free-riding, respectively. These hypotheses are tested in the French franchising context by using a sample of 138 franchisors. The empirical results are largely supportive of the hypotheses. We extend the franchising literature by arguing that the explanation of the franchisor's use of multi-unit franchising requires the combined application of different theoretical perspectives.

Keywords: multi-unit; franchising; :; economic; framework (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations: View citations in EconPapers (10)

Published in Managerial and Decision Economics, 2013, 34, pp.161-169. ⟨10.1002/mde.2580⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00816128

DOI: 10.1002/mde.2580

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().