The Economics of Franchising Review

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The Economics of Franchising ReviewThe U.S. Government quit collecting data on franchising in 1986. The franchise industry has, for the most part, done a poor job of collecting good data. Blair and Lafontaine collect the data, such as it is, which has been reliably produced on franchising since 1986 and reveal four prevalent myths in franchising. Data are available for all franchisors and are also segmented among industries.
This book will be helpful for the person in a new franchisor operation responsible for creating the economic model, i.e., the initial franchise fee, royalty fees and advertising fees. The book won't be much help without a background of college-level introductory macro- and microeconomics. A basic knowledge of calculus will enable you to follow the analyses but isn't critical to understanding the conclusions. The book also critically analyzes the economic issues which impact franchisor-franchisee tensions.The Economics of Franchising Overview

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