Optimising franchise relationships in the restaurant industry: choice or chance?

Document Type

Conference publication

Publication details

Hing, N 1996, 'Optimising franchise relationships in the restaurant industry: choice or chance?', in G Prosser (ed.), CAUTHE 1996: Tourism and Hospitality Research: Australian and International Perspectives; Proceedings from the Australian Tourism and Hospitality Research Conference, Bureau of Tourism Research, Canberra, ACT, pp. 193-203.

Peer Reviewed



This paper is based on a study into franchise relationships in the Australian restaurant industry. A model of franchisee buying behaviour is developed, depicting the sequence of events which occur in the purchase and operation of a franchised small business. The relationships in the model are tested with data obtained from nine restaurant franchise companies and 127 of their franchised owner-managers. The objectives of the study were to identify the characteristics of franchisors and franchisees which contribute to franchisee satisfaction with purchasing and operating a franchised outlet, and the consequences of this level of satisfaction so that its importance to the relationship can be evaluated.