Franchise dan Waralaba

Franchising

Franchising is the practice of using another firm's successful business model. The word 'franchise' is of anglo-French derivation - from franc - meaning free, and is used both as a noun and as a (transitive) verb.For the franchisor, the franchise is an alternative to building 'chain stores' to distribute goods and avoid the need for investments and liability for a chain. The franchisor's success depends on the success of the franchisees. The franchisee is said to have a greater incentive than a direct employee because he or she has a direct stake in the business.

a.    Franchise business Disadvantages:
     Franchisee outlets in the hands of the authority (if it's too much hassle idea Franchisor)
     Need to change the paradigm (paradigm shift) of the materials sold
     To establish a standardized system, the need for a more bureaucratic process.

b.      Franchise System Advantages:
     Acceleration of the expansion effort, with relatively low capital
     Efficiency in reaching target markets through joint promotional
     Formation of economic power in the distribution network
     Replace the need for personnel with the operator's Franchisor Franchisee (slim organization)
     Outlet owners are highly motivated because it involves the return on investment and business  profits.

The example of franchise:

Dunkin 'Donuts was first founded by William Rosenberg in 1950. He opened a donut shop with the name Open Kettle in the city of Boston, Quincy - Massachusetts, USA. Not unexpectedly his donut outlets were growing rapidly. This is evident from the growing number of customers who visited the booth. See the development of a growing business, Rosenberg in 1950 decided to change the name Open Kettle, a different name. After a long process, elected a new name is Dunkin 'Donuts. Along with the name change, dirintislah franchise system (franchisees) for this company.

Year after year went by the name of progress and fame Dunkin 'Donuts is increasingly unstoppable. Even in 1970, Dunkin 'Donuts has become an international brand with an outstanding reputation in product quality and service. Reputation and fame that are then attracted to Allied Domecq, an international company in charge of Togo's and Baskin-Robins to buy Dunkin 'Donuts from Rosenberg family. Purchase and takeover of the company's Rosenberg family finally agreed and carried out with a full fellowship in 1983.

Although the change of ownership, Allied Domecq still trying to maintain a management system that already runs on Dunkin 'Donuts. Even if there are to be changed, the changes made ​​on a small scale. Only one is a whole management of Allied Domecq's ambition is to help Dunkin 'Donuts to expand the market internationally. To realize his ambition is diberlakukanlah standardization across the counter Dunkin 'Donuts. In addition, a surefire marketing strategies are also beginning to be waged, as always trying to update the design in accordance with the trend, focusing on product quality and working to maximize customer satisfaction.

With the support of qualified human resources, in a short time reached the ambition of Allied Domecq. Dunkin 'Donuts miraculously succeeded in expanding the market, so stores are not only spread in the Americas, but also in continental Europe and Asia including lectures to Indonesia.