- Brand
identification
- Successful method of doing business
- Proven marketing and distribution system
Franchising is a strategic relationship between groups of
people who have specific relationships and responsibilities with a common goal
to dominate markets, for example to obtain and keep more customers than their
competitors.
In reality you are investing your assets in a system to
utilize the brand name, operating system and ongoing support. You and everyone
in the system are licensed to use the brand name and operating system.
The business relationship is a joint commitment by all
franchisees to get and keep customers. Legally you are bound to get and keep
them using the prescribed marketing and operating systems of the franchisor.
To be successful in franchising you must understand the
business and legal ramifications of your relationship with the franchisor and
all the franchisees. Your focus must be on working with other franchisees and
company managers to market the brand, and fully use the operating system to get
and keep customers.
