Abstract
This chapter examines the nature of franchising and various business practices in terms of economic governance systems. Markets versus hierarchies, problems of collective action, and tournaments and adaptive imitation are linked to alternative types of franchise organization using established franchising taxonomies and previous research on franchise organization. Common activities of franchised operations are examined in light of governance systems. The chapter highlights some of the comparative advantages of alternative governance systems. The chapter also includes some implications for marketing channel strategy.
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Norton, S.W. (2004). Towards a More General Theory of Franchise Governance. In: Windsperger, J., Cliquet, G., Hendrikse, G., Tuunanen, M. (eds) Economics and Management of Franchising Networks. Contributions to Management Science. Physica, Heidelberg. https://doi.org/10.1007/978-3-7908-2662-3_2
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DOI: https://doi.org/10.1007/978-3-7908-2662-3_2
Publisher Name: Physica, Heidelberg
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