Franchising, Externality and Dual Distribution
This paper examines dual distribution in franchising systems, which arises when franchisors simultaneously operate franchised and company-owned outlets. Dual distribution is explained in terms of non-separable externality, which increases the costs of franchising compared with separable externality. A model is developed to illustrate this explanation.
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|Date of creation:||Oct 1994|
|Date of revision:|
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