search query: @indexterm Franchising / total: 231
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Author: | Rao, R. Srinivasan, S. |
Title: | Why are royalty rates higher in service-type franshises? |
Journal: | Journal of Economics & Management Strategy
1995 : SPRING, VOL. 4:1, p. 7-31 |
Index terms: | FRANCHISING MARKETING ECONOMICS |
Language: | eng |
Abstract: | Royality payments from a franchisee to a franchisor as incentive for the franchisor to provide appropriate levels of quality and brand name investment. However, since they also distort the service provided by the franchisee, we should expect relatively lower royality rates in franchises that are primarily service-oriented. |
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