Abstract
This article identifies critical issues affecting international franchisees operating foreign franchise restaurants in Korea, including franchisor selection criteria, restaurant site selection, and training needs. A total of 80 questionnaires were distributed to restaurant managers operating U.S. restaurant franchises in Korea. Fifty-seven managers completed the questionnaire and participated in the study. The results of the study revealed that a highly efficient franchise system and a fair franchise contract are the most important factors that respondents consider in selecting an international franchisor. The results of the study further indicated that shopping mall and department stores were the preferred sites for restaurant franchises. U.S. restaurant executives engaged in international restaurant franchising or looking to develop international restaurant franchises in Asian countries could develop a competitive international franchising strategy based on the results of this study.
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