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The effect of knowledge complexity on the performance of franchise systems in the service industries: an empirical study

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  • Beatriz Minguela-Rata
  • José López-Sánchez
  • M. Rodríguez-Benavides

Abstract

The literature of knowledge transfer studies complexity as a knowledge characteristic which influences organisations’ performance since it hinders this process. However, complex knowledge is richer and more complete and its influence on performance may be positive. So, the purpose of this study is to analyse the influence of knowledge complexity on the performance of franchise systems in the service industries. With this aim, a linear regression analysis is conducted on a sample of franchisee of different franchise chains of the several service industries operating in Spain. The findings seem to indicate that complexity has a positive impact on the performance of franchise systems. Copyright Springer-Verlag 2009

Suggested Citation

  • Beatriz Minguela-Rata & José López-Sánchez & M. Rodríguez-Benavides, 2009. "The effect of knowledge complexity on the performance of franchise systems in the service industries: an empirical study," Service Business, Springer;Pan-Pacific Business Association, vol. 3(1), pages 101-115, March.
    • Handle: RePEc:spr:svcbiz:v:3:y:2009:i:1:p:101-115
    DOI: 10.1007/s11628-008-0049-z
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    References listed on IDEAS

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    1. Martin, Robert E, 1988. "Franchising and Risk Management," American Economic Review, American Economic Association, vol. 78(5), pages 954-968, December.
    2. Eric D. Darr & Linda Argote & Dennis Epple, 1995. "The Acquisition, Transfer, and Depreciation of Knowledge in Service Organizations: Productivity in Franchises," Management Science, INFORMS, vol. 41(11), pages 1750-1762, November.
    3. Raghu Garud & Praveen R. Nayyar, 1994. "Transformative capacity: Continual structuring by intertemporal technology transfer," Strategic Management Journal, Wiley Blackwell, vol. 15(5), pages 365-385, June.
    4. Olav Sorenson & Jesper B. Sørensen, 2001. "Finding the right mix: franchising, organizational learning, and chain performance," Strategic Management Journal, Wiley Blackwell, vol. 22(6‐7), pages 713-724, June.
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    Cited by:

    1. José Ramírez-Hurtado & Flor Guerrero-Casas & Francisco Rondán-Cataluña, 2011. "Criteria used in the selection of franchisees: an application in the service industry," Service Business, Springer;Pan-Pacific Business Association, vol. 5(1), pages 47-67, March.
    2. Daniel Palacios-Marques & Ignacio Gil-Pechuán & Seongbae Lim, 2011. "Improving human capital through knowledge management practices in knowledge-intensive business services," Service Business, Springer;Pan-Pacific Business Association, vol. 5(2), pages 99-112, June.
    3. Axel Rodríguez & Vicente Caballer & Natividad Guadalajara, 2011. "Assessing the intangibles transferred in franchise businesses," Service Business, Springer;Pan-Pacific Business Association, vol. 5(1), pages 29-46, March.

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