Franchising
Franchising is when an organization gives another organization the right to use its name and operating methods.
Definition
According to Management by Robbins and Coulter (14th edition),
- Franchising. An organization gives another organization the right to use its name and operating methods.
According to the Strategic Management by David and David (15th edition),
- Franchising. An effective means of implementing forward integration whereby a franchisee purchases the right to own one or more stores/restaurants of a chain firm.
According to the HRBoK Guide,
- Franchising. A business model that involves licensing. Selling a license for the use of a trademark, product, or service in order to do business a certain way and receiving ongoing payment for the license.