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THE MARKET FOR FRANCHISE OPPORTUNITIES *
Author(s) -
Martin Robert E.
Publication year - 1996
Publication title -
bulletin of economic research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.227
H-Index - 29
eISSN - 1467-8586
pISSN - 0307-3378
DOI - 10.1111/j.1467-8586.1996.tb00626.x
Subject(s) - franchise , incentive , compensation (psychology) , distribution (mathematics) , vertical integration , business , industrial organization , microeconomics , economics , marketing , mathematics , psychology , mathematical analysis , psychoanalysis
Franchised distribution accounts for a substantial proportion of retail sales each year. This form of vertical integration is frequently found in the accompaniment of parallel distribution through company‐owned establishments. Similarly, franchise contracts are characterized by mixed compensation strategies. This paper contains empirical models of the market for franchise opportunities where incentives for mixed distribution and compensation strategies are evaluated.