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Company Ownership vs Franchising: Issues and Evidence

Journal of Economic Studies

ISSN: 0144-3585

Article publication date: 1 April 1992

783

Abstract

Uses comprehensive data on the geographical and industry distribution of company‐owned and franchised outlets in franchise chains to test hypotheses on the ownership fror choice in US state markets. Comfirms the importance of geographical factors, associating company ownership with urbanization and/or higher population densities, an therefore concluding that in these cases monitoring cost are lower. Concludes further that franchising supplement the financing of the chain and is particularly useful in achieving rapid growth.

Keywords

Citation

Thompson, R.S. (1992), "Company Ownership vs Franchising: Issues and Evidence", Journal of Economic Studies, Vol. 19 No. 4. https://doi.org/10.1108/EUM0000000000165

Publisher

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MCB UP Ltd

Copyright © 1992, MCB UP Limited

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