Tag Archives: franchisee

Franchisee Problems at McDonald’s

The backbone of McDonald’s long-term growth around the world is its franchising system, whereby the vast majority of McDonald’s outlets are owned and operated by franchisees. However, McDonald’s has not performed strongly for a while. And many of its franchisees … Continue reading

Posted in Global Retailing, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 4: Store Location Planning, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Part 8: Putting It All Together | Tagged , , , , , , , | 2 Comments

Franchising Can Be Much Riskier Than Some Believe

About a year ago, we wrote about the questionable nature of the 90% success rate for franchisees (a figure promulgated by the industry). Now, two recent Wall Street Journal articles raise even more questions about the viability of a franchised … Continue reading

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 4: Store Location Planning, Part 5: Managing a Retail Business | Tagged , , , , , , , , , , | 3 Comments

Is the 90 Percent Franchisee Success Rate Right?

One of the long-time statistics circulating in retailing is that 90 percent of franchisees succeed — a rate far higher than that of independent startups and other retailers. But is this figure correct or is it really the stuff of … Continue reading

Posted in Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 5: Managing a Retail Business, Part 8: Putting It All Together | Tagged , , , , , , | 1 Comment