Perception of Creativity in International Franchising Business Concepts - Comparison Analysis Between Franchisees and Franchisors

Abstract

Perception of Creativity in International Franchising Business Concepts - Comparison Analysis Between Franchisees and FranchisorsThis paper deals with the topic of creativity and perceived freedom of creativity in international franchising business concepts. It analyses various areas of daily business operations and the franchising business concept as a whole. Its focus is aimed at comparing the perception of level of freedom given in these areas to franchisees by the franchisors and its objective is to find out where these perceptions differ between franchisees one side and franchisors on the other. The model of franchising is not described and the article assumes that the reader is familiar with this business model. The purpose of this article is to analyse and present the situation of creativity in the sector of international franchise businesses. As international franchising is in the focus of this article, topics such as cross-cultural environment in franchising models and creativity across cultures are covered. The method used to collect the data for further analysis is running an empirical research among two populations - franchisees and franchisors from several franchising business concepts active in international environment. Representatives from the two populations were asked to evaluate the level of freedom of creativity given or applied in their franchising business concepts. Respondents were answering an online survey, assessing ten different areas in daily business on a scale from one to five, ranging from no creativity allowed and strict governance by rules defined in the franchise concept to high level of creativity and freedom. Findings from both side of the franchise business partnerships, franchisees and franchisors, are presented including the test of homogeneity of proportions. Therefore some implications exist for further discussions and research, if franchising at all is, in its essence, a method of business concept, which enhances and facilitates creativity, or if creativity is perceived as a danger to franchise system that would harm its global unified approach which is the key principle of the franchis unified brand and concept strategy.