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·2025
Exploring Strategic Factors influencing Satisfaction and Recontracting Intentions in the Restaurant Franchise Business
Young Hoon Lee, Meehee Cho
Culinary Science & Hospitality Research
초록

In the midst of economic downturns leading to increased unemployment rates, the franchise industry has seen a surge in entrepreneurship as individuals seek to minimize failure and diversify risks. Consequently, franchise memberships have been on the rise. The franchise industry has evolved to revolve around a system where franchise headquarters, leveraging significant capital and resources, support franchisees with validated products, services, and management techniques primarily derived from successful company-owned outlets. This model enables franchise headquarters to rapidly expand their sales network using the capital and efforts of franchisees, without requiring significant capital of their own. While franchise headquarters have the advantage of rapid brand expansion and competitive edge through economies of scale, the rapidly evolving market environment necessitates multifaceted survival strategies to enhance competitiveness. Distrust and conflicts between franchise headquarters and franchisees stem from differing profit pursuit concepts. To address such issues, franchise headquarters need to establish a support system tailored to the circumstances of franchisees, based on continuous management support, education, and communication. This study aims to empirically analyze the impact of selected attributes supported by franchise headquarters on franchisees' satisfaction and recontract intention, with the goal of identifying strategic responses to increase franchisee satisfaction and renewal intentions by understanding their needs. The results of this study indicate that the selected attributes supported by franchise headquarters in the restaurant franchise industry significantly influence satisfaction and recontract intention. Moreover, these attributes vary depending on satisfaction levels and renewal intentions. Based on these findings, franchise headquarters in the restaurant franchise industry should provide diverse and differentiated support continuously to attract a multitude of franchisees and establish a framework conducive to sustained renewal, grounded in effective communication with franchisees.

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FranchiseBusinessMarketingAdvertisingBusiness administration
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2025

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