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UAL Research Online

The effect of entrepreneurial orientation on the franchise relationship

Dada, Olufunmilola and Watson, Anna (2013) The effect of entrepreneurial orientation on the franchise relationship. International Small Business Journal. pp. 955-977. ISSN 0266-2426

Type of Research: Article
Creators: Dada, Olufunmilola and Watson, Anna
Description:

This article aims to understand how the entrepreneurial orientation (EO) of the franchise system may impact franchisor–franchisee relationship quality, given the conflicting forces for standardization/uniformity and franchisee desire for autonomy. A cross-sectional research design, involving a mail questionnaire survey, was employed to collect data from a sample of franchisors operating in the UK. The hypotheses specified in the study were tested using regression (including moderated regression) analyses. The results revealed that EO was significantly and positively related to relationship quality (as perceived by the franchisor). In addition, the recruitment of entrepreneurial franchisees was found to have a positively significant impact on relationship quality. The structural support systems used by franchisors to encourage franchisee entrepreneurial activities were not found to moderate the relationship between EO and relationship quality. The results suggest that systems with EO and entrepreneurial franchisees may enjoy better relations.

Official Website: http://dx.doi.org/10.1177/0266242612446035
Keywords/subjects not otherwise listed: Entrepreneurial orientation; franchise relationship; franchisee selection; franchise structural support systems
Publisher/Broadcaster/Company: Sage Publications
Your affiliations with UAL: Colleges > London College of Fashion
Date: 7 December 2013
Copyright Holders: O Dada, A Watson, D Kirby
Digital Object Identifier: 10.1177/0266242612446035
Date Deposited: 03 Feb 2014 15:05
Last Modified: 03 Feb 2014 15:05
Item ID: 6070
URI: http://ualresearchonline.arts.ac.uk/id/eprint/6070

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