Analysis Framework Of Intermediate Layer Of Multi-unit Franchise

Investigation and research result shows that multi-unit franchise often has more advantages than single-unit franchise. Multi-unit franchise can let franchiser seize market opportunities quickly to enhance local adaptation ability. International franchise abides by some agent theory and international theory disciplines. Collective behavior and social choice theory show that multi-unit franchise overcomes insufficient supply of public products and public decision-making problems. There is no consensus for such research for fundamental problems such as definition, classification and analysis method of multi-unit franchise. Analysis framework of intermediate layer proposed in the paper is just to answer such fundamental problems. Analysis framework of intermediate layer includes3layers:The1st is definition of multi-unit franchise, the2nd is classification and the3rd is analysis on9factors of multi-unit franchise. The1st layer is to emphasize multi-franchise as an entity. The2nd is to regard multi-unit franchiser's management authority and store assets as two dimensions to divide up multi-unit franchise type from views of division of work and cooperation angle. The3rd is to think about main-body conditions&motivation of franchiser, franchisee and terminal store as well as external environment factors to determine multi-unit franchise development in a multi-unit system together.Multi-unit franchise is a mode of intermediate layer of franchise system, and is a franchiser's local partner, and is a substitution of franchiser's branch. Definition of multi-unit franchise is to regard different forms of multi-unit franchise as an entity. Intermediate layer of multi-unit franchise includes relationship between franchiser and local partner as well as between local partner and terminal store. As two dimensions to divide up multi-unit franchise system, management authority and store assets of multi-unit franchisee are to reflect form and extent of division of work between multi-unit franchisee and franchiser or between multi-unit franchisee and store so as to determine diversity&adaptability of multi-unit franchise form. Multi-unit franchise is general form of intermediate layer of franchise system according to management authority of local partner. Franchiser's branch and pure license are two extreme forms respectively. Analysis of9factors is an analysis tool of various detailed forms of multi-unit franchise in a specific environment for further development of integral concept of multi-unit franchise and division of two dimensions.Multi-unit franchise is franchise operation&development trend but it has a development sequence problem according to mode selection. There are easier modes for multi-unit franchise, for example, sequential multi-unit franchise, area representative, area development, franchise broke are often used firstly. While master franchise and joint-venture franchise modes are relatively complex for adoption after mature development of franchise system. We should advocate national franchise system development greatly and practice bravely; In the meanwhile, we should abide by development sequence of multi-unit franchise mode from relatively easier mode to overseas expansion gradually by way of master franchise and joint-venture franchise after meeting conditions. We should create a multi-unit franchisee, namely, development environment of development franchisee in a macroscopic level. Such medium and small commercial service enterprises of excellent development are social basis to develop multi-unit franchise.