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Franchise As An Efficient Mode Of Entry In Emerging Markets: A Discussion From The Legitimacy Point Of View

In: Handbook Of Business Practices And Growth In Emerging Markets

Author

Listed:
  • CLAIRE GAUZENTE

    (University of Angers (GRANEM research team), France)

  • RÉGIS DUMOULIN

    (University of Angers (GRANEM research team), France)

Abstract

The entry mode choice on a new market is always a hot issue for both practitioners and academics. One of the most widely used solutions is franchising. This chapter explains why in emerging market this option can be interesting. It also delineates the different suboptions within the franchise option. It reviews success criteria as identified in franchise literature and introduces the concept of legitimacy as a key factor to entry success. Grounding on the new institutionalism theoretical framework, the different types of legitimacy — coercive, normative, and cognitive — are exposed and discussed in light of emerging markets characteristics.

Suggested Citation

  • Claire Gauzente & Régis Dumoulin, 2009. "Franchise As An Efficient Mode Of Entry In Emerging Markets: A Discussion From The Legitimacy Point Of View," World Scientific Book Chapters, in: Satyendra Singh (ed.), Handbook Of Business Practices And Growth In Emerging Markets, chapter 14, pages 255-272, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789812791788_0014
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    More about this item

    Keywords

    Emerging Markets; Growth; Business Practices; International Business; International Marketing; Developing Country; Transitional Economies;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General

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