IDEAS home Printed from https://ideas.repec.org/a/fgv/eaerae/v55y2015i3a49249.html
   My bibliography  Save this article

Internacionalização das redes de franquias brasileiras: um estudo comparativo

Author

Listed:
  • Melo, Pedro Lucas de Resende
  • Borini, Felipe Mendes
  • Oliveira Junior, Moacir de Miranda
  • Parente, Ronaldo Couto

Abstract

The primary goal of this paper is to comprehend the fundamental organizational differences between Brazilian franchise chains that only operate in the home market and Brazilian franchise chains that operate internationally. The sample chosen for this study comprehends 96 Brazilian franchises operating in the home market and 67 franchises with international operations; logistic regression was used to analyze data obtained from these sources. Our findings suggest that the development of a brand in international operations can be strategic for certain Brazilian franchise chains; this seems to be, however, a scarce resource for many franchises and it could be developed through international operations. With regard to the fees charged, the outcomes demonstrate that Brazilian franchises with international operations tend to charge lower fees from its franchisees to install new units. Regarding the monitoring and control of franchises, there is evidence that the monitoring capability is one of the determining factors in the development of Brazilian franchises international operations.

Suggested Citation

  • Melo, Pedro Lucas de Resende & Borini, Felipe Mendes & Oliveira Junior, Moacir de Miranda & Parente, Ronaldo Couto, 2015. "Internacionalização das redes de franquias brasileiras: um estudo comparativo," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 55(3), May.
  • Handle: RePEc:fgv:eaerae:v:55:y:2015:i:3:a:49249
    as

    Download full text from publisher

    File URL: http://bibliotecadigital.fgv.br/ojs/index.php/rae/article/view/49249
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Shane, Scott A., 1996. "Why franchise companies expand overseas," Journal of Business Venturing, Elsevier, vol. 11(2), pages 73-88, March.
    2. Cuervo-Cazurra, Alvaro, 2008. "The multinationalization of developing country MNEs: The case of multilatinas," Journal of International Management, Elsevier, vol. 14(2), pages 138-154, June.
    3. Brickley, James A. & Dark, Frederick H., 1987. "The choice of organizational form The case of franchising," Journal of Financial Economics, Elsevier, vol. 18(2), pages 401-420, June.
    4. George Hendrikse & Mika Tuunanen & Josef Windsperger & Gérard Cliquet, 2008. "Strategy and Governance of Networks," Post-Print halshs-00480202, HAL.
    5. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    6. Rozenn Perrigot & Gérard Cliquet & M. Mesbah, 2004. "Possible applications of survival analysis in franchising research," Post-Print halshs-00069131, HAL.
    7. Mathewson, G Frank & Winter, Ralph A, 1985. "The Economics of Franchise Contracts," Journal of Law and Economics, University of Chicago Press, vol. 28(3), pages 503-526, October.
    8. Dirk Clercq & Harry Sapienza & Hans Crijns, 2005. "The Internationalization of Small and Medium-Sized Firms," Small Business Economics, Springer, vol. 24(4), pages 409-419, May.
    9. Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 8(1), pages 23-32, March.
    10. Dant, Rajiv P. & Nasr, Nada I., 1998. "Control techniques and upward flow of information in franchising in distant markets: conceptualization and preliminary evidence," Journal of Business Venturing, Elsevier, vol. 13(1), pages 3-28, January.
    11. Scott Shane & Venkatesh Shankar & Ashwin Aravindakshan, 2006. "The Effects of New Franchisor Partnering Strategies on Franchise System Size," Management Science, INFORMS, vol. 52(5), pages 773-787, May.
    12. Petersen, Bent & Welch, Lawrence S., 2000. "International retailing operations: downstream entry and expansion via franchising," International Business Review, Elsevier, vol. 9(4), pages 479-496, August.
    13. Fladmoe-Lindquist, Karin, 1996. "International franchising: Capabilities and development," Journal of Business Venturing, Elsevier, vol. 11(5), pages 419-438, September.
    14. Francine Lafontaine, 1992. "Agency Theory and Franchising: Some Empirical Results," RAND Journal of Economics, The RAND Corporation, vol. 23(2), pages 263-283, Summer.
    15. Leon Yang Chu & David E.M. Sappington, 2009. "Implementing high‐powered contracts to motivate intertemporal effort supply," RAND Journal of Economics, RAND Corporation, vol. 40(2), pages 296-316, June.
    16. Nancy T. Gallini & Brian D. Wright, 1990. "Technology Transfer under Asymmetric Information," RAND Journal of Economics, The RAND Corporation, vol. 21(1), pages 147-160, Spring.
    17. Donald W Hackett, 1976. "The International Expansion of U.S. Franchise Systems: Status and Strategies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 7(1), pages 65-76, March.
    18. Jan-Benedict E M Steenkamp & Rajeev Batra & Dana L Alden, 2003. "How perceived brand globalness creates brand value," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 34(1), pages 53-65, January.
    19. Alan Felstead, 1991. "The Social Organization of the Franchise: A Case of `Controlled Self-Employment'," Work, Employment & Society, British Sociological Association, vol. 5(1), pages 37-57, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jell-Ojobor, Maria & Windsperger, Josef, 2014. "The Choice of Governance Modes of International Franchise Firms — Development of an Integrative Model," Journal of International Management, Elsevier, vol. 20(2), pages 153-187.
    2. Francine Lafontaine & Joanne Oxley, 2001. "International Franchising: Evidence from US and Canadian Franchisors in Mexico," NBER Working Papers 8179, National Bureau of Economic Research, Inc.
    3. Fladmoe-Lindquist, Karin, 1996. "International franchising: Capabilities and development," Journal of Business Venturing, Elsevier, vol. 11(5), pages 419-438, September.
    4. Dhruv Grewal & Gopalkrishnan R. Iyer & Rajshekhar (Raj) G. Javalgi & Lori Radulovich, 2011. "Franchise Partnership and International Expansion: A Conceptual Framework and Research Propositions," Entrepreneurship Theory and Practice, , vol. 35(3), pages 533-557, May.
    5. Liang, Hueimei & Lee, Kuo-Jung & Huang, Jen-Tsung & Lei, Hsien-Wei, 2013. "The optimal decisions in franchising under profit uncertainty," Economic Modelling, Elsevier, vol. 31(C), pages 128-137.
    6. S. Verbieren & M. Cools & A. Van den Abbeele, 2008. "Franchising. A Literature Review on Management and Control Issues," Review of Business and Economic Literature, KU Leuven, Faculty of Economics and Business (FEB), Review of Business and Economic Literature, vol. 0(4), pages 398-443.
    7. Rosado-Serrano, Alexander & Paul, Justin & Dikova, Desislava, 2018. "International franchising: A literature review and research agenda," Journal of Business Research, Elsevier, vol. 85(C), pages 238-257.
    8. Garg, Viany K. & Rasheed, Abdul A., 2003. "International multi-unit franchising: an agency theoretic explanation," International Business Review, Elsevier, vol. 12(3), pages 329-348, June.
    9. González-Díaz, Manuel & Montoro-Sánchez, Ángeles, 2011. "Some lessons from incentive theory: Promoting quality in bus transport," Transport Policy, Elsevier, vol. 18(2), pages 299-306, March.
    10. Barthelemy, Jerome, 2004. "The administrative productivity of U.S. franchisors: an empirical investigation," Economics Letters, Elsevier, vol. 83(1), pages 115-121, April.
    11. Guo, Shiau-Ling, 2023. "The governance implication of the geographic concentration of franchise activities for franchise relationships," Journal of Business Research, Elsevier, vol. 157(C).
    12. Michael, Steven C., 1996. "To franchise or not to franchise: An analysis of decision rights and organizational form shares," Journal of Business Venturing, Elsevier, vol. 11(1), pages 57-71, January.
    13. Barthélemy, Jérôme, 2011. "Agency and institutional influences on franchising decisions," Journal of Business Venturing, Elsevier, vol. 26(1), pages 93-103, January.
    14. Shane, Scott A., 1996. "Why franchise companies expand overseas," Journal of Business Venturing, Elsevier, vol. 11(2), pages 73-88, March.
    15. Chabowski, Brian R. & Hult, G. Tomas M. & Mena, Jeannette A., 2011. "The Retailing Literature as a Basis for Franchising Research: Using Intellectual Structure to Advance Theory," Journal of Retailing, Elsevier, vol. 87(3), pages 269-284.
    16. Combs, James G. & Ketchen, David Jr. & Hoover, Vera L., 2004. "A strategic groups approach to the franchising-performance relationship," Journal of Business Venturing, Elsevier, vol. 19(6), pages 877-897, November.
    17. Falbe, Cecilia M. & Welsh, Dianne H. B., 1998. "NAFTA and franchising: A comparison of franchisor perceptions of characteristics associated with franchisee success and failure in Canada, Mexico, and the United States," Journal of Business Venturing, Elsevier, vol. 13(2), pages 151-171, March.
    18. Josef Windsperger, 2013. "The governance of franchising networks," Chapters, in: Anna Grandori (ed.), Handbook of Economic Organization, chapter 27, Edward Elgar Publishing.
    19. Anna Sadovnikova & Manish Kacker & Saurabh Mishra, 2023. "Franchising structure changes and shareholder value: Evidence from store buybacks and refranchising," Journal of the Academy of Marketing Science, Springer, vol. 51(5), pages 1098-1117, September.
    20. Hsu, Liwu & Kaufmann, Patrick & Srinivasan, Shuba, 2017. "How Do Franchise Ownership Structure and Strategic Investment Emphasis Influence Stock Returns and Risks?," Journal of Retailing, Elsevier, vol. 93(3), pages 350-368.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fgv:eaerae:v:55:y:2015:i:3:a:49249. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Núcleo de Computação da FGV EPGE (email available below). General contact details of provider: https://edirc.repec.org/data/eagvfbr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.