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| Author: | Garg, V. K. Rasheed, A. A. |
| Title: | International multi-unit franchising: an agency theoretic explanation |
| Journal: | International Business Review
2003 : JUN, VOL. 12:3, p. 329-348 |
| Index terms: | Franchising Agency theory Information theory |
| Language: | eng |
| Abstract: | The paper examines several agency problems ingherent in multi-unit franchising. These include: bonding, adverse selection, information flow, shirking, inefficient risk-bearing, free-riding, and quasi-rent appropriation. Consideration of each of these problems using agency theory perspective leads to the suggestion that multiunit franchising might address agency problems better than single-unit franchising in the international context. |
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