Franchising in the healthcare sector: The case of Child and Family Wellness clinics in Kenya

Abstract

Franchising has been growing in most countries and most industries, and it is now growing in social sectors, e.g., healthcare, education, the provision of water. The aim of this paper is to understand and assess, using the case study of Child and Family Wellness clinics (CFW), the business model used by franchisors in the social sector; i.e., how franchisors use the core elements of franchising to manage their networks in the social sector. This research deals with three main elements of franchising, i.e., know-how, assistance and brand name, as well as the franchisor/franchisee and franchisee/franchisee relationships. The empirical work, based on the Child and Family Wellness clinics (CFW) network in Kenya, relies on primary data gathered through the conduction and analysis of 19 in-depth interviews and on secondary data from access to internal data. The main findings of this research show that franchising in the social sector seems to work no differently from franchising in more traditional sectors, at least in terms of know-how, assistance, brand name and franchisor/franchisee and franchisee/franchisee relationships. This research serves as an example and a set of guidelines for entrepreneurs who want to develop a franchise concept in the healthcare sector or any other social sectors, as well as a support for these entrepreneurs to develop and grow their concept. It can provide them with ideas on what should be implemented in the areas of know-how, assistance, brand name and relationships in order to succeed, e.g., organization of training sessions, setting up of committees.