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The Impact Of Growth, Governance, And Geography On Franchise Performance, Moeen Naseer Butt

Electronic Thesis and Dissertation Repository

Growing franchise systems are admired and rewarded favorably by press, seen as “growth engines” in investor stock portfolios, and attract significant interest from potential franchisees. Yet growth brings with it the specter of intra-brand competition, and its attendant ill effect of sharply reducing the motivation of franchisees – the very drivers of such growth. Facing competition from their very own, franchisees indulge in shirking, in turn eliciting franchisor terminations in ever greater numbers as they run afoul of the franchise agreement. These franchisor terminations, in turn, may subsequently affect the financial position of franchise systems in terms of sales and …