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When do franchisors select entrepreneurial franchisees?: an organisational identity perspective

Research output: Contribution to journalJournal article

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  • Anna Watson
  • Lola Dada
  • Marko Grünhagen
  • Melody Wollan
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<mark>Journal publication date</mark>12/2016
<mark>Journal</mark>Journal of Business Research
Issue number12
Volume69
Number of pages12
Pages (from-to)5934-5945
Publication statusPublished
Early online date28/05/16
Original languageEnglish

Abstract

In spite of the acknowledged importance of the franchisee selection process, only a few empirical studies have examined this research area. This paper employs organizational identity theory to explain when the franchisor desires to select specifically franchisees that have the potential for entrepreneurial behavior. A mail questionnaire survey was utilized to collect data from a sample of franchisors in the UK. The results revealed that the systems that select entrepreneurial franchisees are those that have entrepreneurial values as part of their organizational identity, as reflected in the institutionalized support given by the franchisor for entrepreneurial activities. Additionally, we found that the performance of the franchise system is positively affected where the franchisor seeks to select franchisees whose entrepreneurial values are congruent with those of the system.