Franchising in Ukraine

Abstract

Purpose

This paper is an exploratory survey that examines franchising in Ukraine. The purpose of this discussion paper therefore, is to shed light on the extent to which franchising is impacted by economic, legal, and investment factors in Ukraine. It attempts to make a brief comparison with the Australian franchising system in order to present a platform for future marketing and implementation scenarios in the country.

Design/methodology/approach

Based on a literature synthesis, the paper proposes reasons for the success of franchising in Ukraine. It outlines the experiences of two successful franchising businesses established in Ukraine.

Findings

Despite the difficulties of operating in the Ukrainian business environment, with its twin problems of bureaucracy and corruption, franchising has managed to establish itself as a viable way of doing business in Ukraine. Both foreign and local franchisors are beginning to make headway in establishing a strong presence in the Ukrainian business landscape.

Originality/value

The paper contributes to understanding franchising in Ukraine. It offers some insights and assistance to investors hoping to open up franchises. As very little research work has been undertaken in Ukraine, it is hoped that this discussion will assist franchisors to become better prepared for the next upturn in the economic cycle.

Citation

Peretiatko, R., Humeniuk, A., Humeniuk, M., D'Souza, C. and Gilmore, A. (2009), "Franchising in Ukraine", European Journal of Marketing, Vol. 43 No. 1/2, pp. 21-30. https://doi.org/10.1108/03090560910923210