THE KEY SUCCESS FACTORS FOR ASSESSING THE FRANCHISABILITY OF FRANCHISE RESTAURANT BUSINESS

IN THAILAND

WORAWAT SRISAWASDI

A THEMATIC PAPER SUBMITTED IN PARTIAL

FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF MANAGEMENT

COLLEGE OF MANAGEMENT MAHIDOL UNIVERSITY

2015

COPYRIGHT OF MAHIDOL UNIVERSITY

Thematic paper entitled

THE KEY SUCCESS FACTORS FOR ASSESSING THE FRANCHISABILITY OF FRANCHISE RESTAURANT BUSINESS

IN THAILAND

was submitted to the College of Management, Mahidol University

for the degree of Master of Management on

May 2, 2015

……………………….….…..……… Dr. Poomporn Thamsatitdej,

D.B.A. Advisor

……………………….….…..……… Assoc. Prof. Annop Tanlamai, Ph.D.

Dean College of Management

Mahidol University

……………….………….…..………

Mr. Worawat Srisawasdi Candidate

……………………….….…..……… Assoc. Prof. Vichita Ractham,

Ph.D. Chairperson

………………………………………. Asst. Prof. Randall Shannon, Ph.D.

Committee member

ii

ACKNOWLEDGEMENTS

First of all, I would like to thank Dr.Peter De Maeyer for giving me useful

ideas and advices for my paper. I also would like to thank my Franchise Management

course lecturer Ajarn Sitthichai Songatikamas for providing me with useful knowledge

about franchise businesses, which helped me complete my paper. It would not have been

possible without the guidance from both.

Furthermore, I would like to thank my parents for supporting and motivat ing

me to complete this paper. They have given me so much inspiration and support me

throughout my journey as a Master Degree student.

I also would like to thank all the branch managers that I surveyed during the

data collection process. They have given me the knowledge and insights for my

research. Without their cooperation to do the survey, I would not have been able to

complete this paper.

Finally, I would like to thank to my advisor, Dr.Poomporn Thamsatitde j,

who has been very helpful throughout the course of my journey to complete this paper.

Thank you for all your support.

Worawat Srisawasdi

iii

THE KEY SUCCESS FACTORS FOR ASSESSING THE FRANCHISABILITY

OF FRANCHISE RESTAURANT BUSINESS IN THAILAND

WORAWAT SRISAWASDI 5549293

M.M. (MARKETING AND MANAGEMENT)

THEMATIC PAPER ADVISORY COMMITTEE: DR. POOMPORN

THAMSATITDEJ, D.B.A., ASSOC. PROF. VICHITA RACHTHAM, Ph.D., ASST.

PROF. RANDALL SHANNON, Ph.D.

ABSTRACT

Due to the increasing number of franchise businesses in Thailand,

particularly Bangkok Metropolitan areas, the knowledge of running franchise business

has become more important than ever. Like many other business strategies, franchise is

a strategy for business expansion that is not applicable to all businesses. Franchise

strategy requires a business to have a proven business model, strong brand reputation,

and standard training and operating system. Currently, there are many franchise brands

in Thailand, which are both international and local. The most popular internationa l

franchise brands that we are most familiar with include KFC, McDonalds, Starbucks,

Dunkin Donuts, etc. There are also popular local franchise brands such as Seven Eleven,

Black Canyon, Daddy Dough, Chester’s, etc. The purpose of this research is to identify

the key success factors, particularly for franchise restaurant businesses, which are

critical to the success of franchise business. These key success factors will serve as a

tool to evaluate the franchisability of franchise restaurant business. In other words, the

key success factors will help businesses to determine whether franchising is suitable for

them.

KEY WORDS: Franchising Key Success Factors/ Marketing Strategy/ Restaurant

Franchise/ Franchisability Criteria

20 Pages

iv

CONTENTS

Page

ACKNOWLEDGEMENTS ii

ABSTRACT iii

LIST OF TABLES v

LIST OF FIGURES vi

CHAPTER I INTRODUCTION 1

1.1 Problem Statement 2

1.2 Research Question 2

1.3 Research Objective 2

1.4 Research Scope 2

1.5 Expected Benefits 3

CHAPTER II LITURATURE REVIEW 4

2.1 Key Success Factors for Franchising 4

2.2 Key Success Factors for Franchisability Assessment 5

CHAPTER III RESEARCH METHODOLOGY 7

CHAPTER IV RESEARCH FINDINGS & DATA INTERPRETATION 8

4.1 Descriptive Statistics Analysis 8

4.2 Extreme Response Frequency Analysis 10

4.3 Key Success Factors for

Franchisability 11

CHAPTER V RECOMMENDATION FOR PRACTICAL

USE 14

CHAPTER VI FUTURE RESEARCH 16

CHAPTER VII CONCLUSION 18

REFERENCES 19

BIOGRAPHY 20

v

LIST OF TABLES

Table Page

2.1 Summarization of Key Success Factors from literature findings 6

4.1 Extreme Response Frequency Analysis Table 11

5.1 Franchisability Criteria Evaluation Table 14

5.2 Franchisability Score Table 15

vi

LIST OF FIGURES

Figure Page

4.1 SPSS Descriptive Statistics Result 8

4.2 Descriptive Statistics results of the 10 key success factors 9

6.1 Sample AHP Diagram 17

1

CHAPTER I

INTRODUCTION

Franchising is a method of business expansion whereby a business owner

allows someone to market products or services under his name and trademark and in

accordance to his system. Business franchise is ideal for individual investors who are

looking to own and operate a business with low risks. In return, the franchisor will be

able to expand his business without having to use his own money.

Why is franchising becoming more popular in Thailand?

There are a number of reasons why franchise business is becoming more

popular in Thailand. The main reasons that contribute to this trend are as follow;

First of all, the competition among businesses in general is becoming more

intense. Due to the increasing competition among businesses, a strategy of business

expansion has become a critical method for businesses to compete with each other.

Businesses must find a way to expand their operations rapidly. Therefore, franchis ing

is a great strategy to expand the business quickly. However, a good franchise business

needs to have a strong business model that is proven to be successful and more

importantly, it must be transferable and teachable to others.

The second reason for the increasing popularity of franchising in Thailand

is that there is an increasing demand by individuals to own and invest in doing business.

With the increasing GDP per capita, Thai individuals are now more equipped with

money to invest in private business. The main key ingredient that they lack is the know-

how and the system required to run a business and franchising provide exactly the know-

how and expertise to the individual investors. With the strong business model and well-

recognized brand that the business franchisors provide, individual investors will assume

minimal risk in becoming a franchisee to operate his or her own business.

2

1.1 Problem Statement

The knowledge about franchise business has become more critical for

today’s business world. The main concern for business investors today is to know which

franchise that they should invest to become the franchisee. In order to understand and

determine what drives franchise business to success, we need to determine the key

success factors, which drive franchise business to become successful.

1.2 Research Question

What are the key success factors to determine the franchisability of

franchise restaurant business in Thailand?

1.3 Research Objective

The purpose of this paper is to determine the key success factors that

determine the franchisability of franchise restaurant business in Thailand. These key

success factors will help businesses to determine the feasibility of franchising for their

businesses. The research will explore on various academic journals and business articles

and attempt to evaluate the key success factors, which are most commonly discussed.

The data gathered from branch managers of successful franchises will serve as a sample

in analyzing the key success factors that are most important in determining the

feasibility of franchising for franchise restaurant businesses in Thailand, particularly the

Bangkok Metropolitan Area.

1.4 Research Scope

The scope of this research will primarily focus on the key success factors

for franchising franchise restaurant business. The data gathered from interviewing

people working in the franchise businesses, particularly those working in franchise

restaurant businesses in Thailand. The data will be used to analyze the key factors,

which are critical to the success of franchise business.

3

1.5 Expected Benefits

This paper will help identify the relative importance of each key success

factor that can be used to assess the franchisability of franchise restaurant in Thailand.

The prospect franchisee will be able to use the knowledge from this paper to determine

and choose the franchise businesses that are most likely to succeed. Furthermore,

business owners who are considering to expand their business through franchising will

be able to assess themselves whether or not franchising is suitable for them.

4

CHAPTER II

LITERATURE REVIEW

In business world, there are often conflicts between academic theories and

academic practice. Various academic papers define key success factors for franchis ing

in one way, while other business magazines stressed out other factors that are in different

dimensions to the key success factors defined in academic papers.

2.1 Key Success Factors for Franchising

Donald and Patrick D.Boroian, The Franchise Advantage, described eight

key success factors as follow;

1. Longevity

2. Profitability for franchisor and franchisee

3. Teachability

4. Systematization

5. Marketability

6. Transferability

7. Originality

8. Affordability

According to Cara Waters, Smart Company, there are 6 key factors that

contribute to the success of franchise;

Loyal customer base

Clear market position

Expertise of business operation

Ability to control stock at hand

Brand name establishment

Strong workforce

Nevertheless, various academic practitioners and business experts have

5

provided different views regarding what they belive to be the key success factors for

franchising. Tauber(Business Horizons Vol.24, 2001stressed out the importance of

marketing support, clear market positioning, and strong brand identity as the key success

factors of franchising.

Thompson(Journal of Economic Behavior & Organization, 1994) stated that

standardized and replicable business model is the key to success for franchise business.

A good franchise business model should be simple and transferable to others.

Tauber(Business Horizons Vol.24, 2001),Brand Franchise Extension: New

product benefits from existing Brand Names. – Edward M. Tauber - Business Horizons

Volume 24, Issue 2, stressed out the importance of Marketing support, clear position,

and Brand identity as the key success factors of franchising. On the other hand,

Anderson(Journal of Economics and Business, 1984) stressed out that profitability

management is important in the development of successful franchise business.

2.2 Key Success factors for Franchisability Assessment

Taking these findings into account, we can summarized the key success

factors into 10 critical success factors as a criteria to assess the franchisability of a

prospect franchise business as follow;

Key Success factors for Franchisability Assessment

1. Longevity: How long a business has been operating?

2. Marketability: The degree of marketing support activities of a business

3. Teachability: Can a business be taught to others

4. Positioning: Does the franchisor business have a clear position in the minds of

the general consumers?

5. Systematization: The more a business can be run in systematic order, the better

the standard.

6. Profitability: A business model should provide decent profit margin for

franchisor or franchisee.

7. Transferability: Ability to teach and transfer a business model to others

8. Originality: The unique feature of the business that differentiate itself from other

competitors

6

9. Affordability: Is the investment affordable for prospect ranchisee to invest?

10. Branding: Does the franchisor have a strong brand that is well accepted by the

market?

These key factors represent the essential key factors that are discussed in

various academic and business journals alike. The below table illustrates a

summarization of literature findings regarding the key success factors compared to the

proposed factors in this paper.

Table 2.1 Summarization of Key Success Factors from literature findings.

Fran

chis

e Fa

cto

rs &

Ref

eren

ce

Sou

rces

Wat

ers,

(Sm

art

Com

pany

, 201

4)

Tau

ber

(Bu

sin

ess

Ho

rizo

ns,

20

01

)

Thom

pson

(Jou

rnal

of

Econ

omic

Beh

avio

r &

Org

aniz

atio

n, 1

994)

Don

ald

& P

atri

ck D

. Bor

oian

(The

Fran

chis

e A

dvan

tage

, 19

87)

And

erso

n(Jo

urna

l of

Eco

nom

ics

&

Bus

ines

s, 1

984)

Pro

po

sed

Key

Su

cces

s Fa

cto

rs

Longevity ✔ ✔

Marketability ✔ ✔ ✔

Teachability ✔ ✔ ✔ ✔

Clear Positioning ✔ ✔ ✔

Systematization ✔ ✔ ✔ ✔ ✔

Profitability ✔ ✔ ✔

Transferability ✔ ✔ ✔ ✔

Originality ✔ ✔

Affordability ✔ ✔

Branding ✔ ✔ ✔

We can conclude that these 10 factors are the key factors that contribute to

the success of franchising. Thus, we can use these factors in order to assess the

franchisability of a business.

7

CHAPTER III

RESEARCH METHODLOGY

The objective of this research is to find out the key success factors that make

franchise restaurant business successful. In the literature review, the researcher went

through several academic and business journals and summarized the key factors into 10

factors, which include;

Longevity

Marketability

Teachability

Positioning

Systematization

Profitability

Transferability

Originality

Affordability

Branding

The methodology used for conducting this research is quantitative analysis

through the data gathered from surveying 30 branch managers who work in successful

and well known franchise restaurant businesses, which include KFC, McDonalds,

Chester’s Grills, and A&W. The survey questions specifically asked them to rank each

key factor for successful franchise business in terms of importance from 1 to 5, 1 being

least important and 5 being the most important.

8

CHAPTER IV

RESEARCH FINDINGS & DATA INTERPRETATION

The data is obtained from surveying 30 branch managers of successful

franchise restaurant businesses through survey questionnaire. The questionna ire

specifically asked the branch managers to evaluate the importance of the 10 key success

factors from 1 to 5, with 1 being least important and 5 being most important. The

collected data was then used in the analysis through quantitative approach. The research

focus is to obtain insights regarding the key success factors for successful restaurant

franchise businesses through quantitative analysis. Descriptive Statistics Analysis is

used to analyze the data. The following table shows the summarization of Descriptive

Statistics Analysis of the data from 30 franchise branch managers.

4.1 Discriptive Statistics Analysis

Descriptive Statistics

N Minimum Maximum Mean Std. Deviation

Longevity 30 1.00 5.00 3.0333 1.12903

Marketability 30 2.00 5.00 4.0333 .76489

Teachability 30 2.00 5.00 4.2333 .85836

Positioning 30 1.00 4.00 3.5000 .68229

Systematization 30 2.00 5.00 4.5333 .77608

Profitability 30 1.00 5.00 4.3667 .88992

Transferability 30 2.00 5.00 4.1000 .80301

Originality 30 1.00 5.00 3.3667 1.03335

Affordability 30 1.00 5.00 3.7000 .83666

Branding 30 2.00 5.00 4.1667 .91287

Valid N (listwise) 30

Figure 4.1 SPSS Descriptive Statistics Result

According to the above table, it should be noted that there are 6 factors with

9

the mean score above 4, while there are 4 factors with the mean score below 4. The 6

factors with the mean above 4 include Systematization, Profitability, Teachability,

Transferability, Marketability and Branding. The factor with the highest mean is

Systematization and the factor with the lowest mean score is Longevity. Based on the

mean analysis, we can see that there is a substantial difference in average score between

Systematization and Longevity factor.

Thus, this raises a question of whether Longevity should be included as a

key success factor for franchising. Other factors with relatively low average score

include Originality and Positioning.

It should be noted that there are other statistical tools to explore the data. In

order to gain deeper insight, we will include the analysis of mean, median and mode

comparison to get further exploitation and identify the relative importance of each key

factor.

Statistics

Longevity Marketability Teachability Positioning Systematization

N Valid 30 30 30 30 30

Missing 0 0 0 0 0

Mean 3.0333 4.0333 4.2333 3.5000 4.5333

Median 3.0000 4.0000 4.0000 4.0000 5.0000

Mode 3.00 4.00 4.00a 4.00 5.00

Minimum 1.00 2.00 2.00 1.00 2.00

Maximum 5.00 5.00 5.00 4.00 5.00

Statistics

Profitability Transferability Originality Affordability Branding

N Valid 30 30 30 30 30

Missing 0 0 0 0 0

Mean 4.3667 4.1000 3.3667 3.7000 4.1667

Median 5.0000 4.0000 3.0000 4.0000 4.0000

Mode 5.00 4.00 3.00a 4.00 5.00

Minimum 1.00 2.00 1.00 1.00 2.00

Maximum 5.00 5.00 5.00 5.00 5.00

a. Multiple modes exist. The smallest value is shown

Figure 4.2 Descriptive Statistics results of the 10 key success factors

10

As we can see, the statistical mean, median and mode for each factor is shown

in the above summarized table. The key factor with highest median is Systematizat ion,

which is also a factor with highest mean. In contrast, the key factor with the lowest

median are Longevity and Originality, which also happen to be the factors with lowest

mean score as well. For the mode analysis, we can see that the key factors with the mode

of 5 are Systematization, Profitability and Branding. We can also see that the key factor

with the lowest mode of 2 is again, Longevity.

Taking these statistical results into account, we can assume that Longevity

is by far the least important key factor compared to other factors, which generally score

higher in terms of average values. We can also safely assume that Systematization is

perhaps the most important key factor to the success of franchising.

4.2 Extreme Response Frequency Analysis

To explore further in order to gain deeper insight, we will employ frequency

analysis to determine the frequency rate of extreme responses. In this case, the extreme

responses are classified into two groups; the high extreme and low extreme. The high

extreme include those who responded 5 in the questionnaire and the low extreme are

those who responded 1 and 2 in the questionnaire.

We have to include both 1 and 2 in the low extreme group because the

frequency of 1 rating is very low, therefore we have to include those who responded 1

and 2 in the low extreme group as well. On the other hand, the amount of respondents

who answered 5 are quite abundant, therefore, we can assume that those who answered

5 represent the high extreme group. The table below illustrates the frequency

distribution in the high and low extreme for each key success factor;

11

Table 4.1 Extreme Response Frequency Analysis Table

Low Extreme

Frequency

High Extreme

Frequency

High/Low

Extreme Ratio

Longevity 9 3 0.33**

Marketability 1 8 8

Teachability 2 13 6.5

Positioning 1 4 4

Systematization 1 20 20*

Profitability 1 16 16

Transferability 1 10 10

Originality 6 4 0.67

Affordability 1 4 4

Branding 1 14 14

According to the table above, we can see that the low extreme frequency,

those who responded 1 or 2, are clustered at 2 factors, which are Longevity and

Originality. On the other hand, the factor with the highest frequency on the high extreme

is Systematization, which is the factor with the highest Mean, Median and

Mode as well. The rightmost column indicates the high-to-low extreme

frequency ratio. It helps us determine which factor has the highest count of favorable

extreme responses with respect to the unfavorable extreme responses. This means that

the factor with the highest high-to-low extreme ratio can be treated as the most important

key factor in assessing the franchisability of a business.

4.3 Key Success Factors for Franchisability

Taking these analysis results into account, we can rule out some factors,

which score relatively low on average. Then, we can conclude that there are essentially

5 key factors, which are the most important factors in assessing the franchisability of

franchise restaurant business. These key factors include;

1. Systematization

2. Profitability

12

3. Teachability

4. Transferability

5. Brand Identity

Systematization

Systematization is the most important key success factor according to the

research result. A standard and reliable business system is very critical to the success of

franchise business. A good business system should allow a franchisor to monitor the

franchisee’s operation and ensure that all branches are running the operations smoothly

by the franchisees themselves on a daily basis.

Profitability

A good franchise business model should provide acceptable profit margin

and ROI for the franchisee. High profit margin and high ROI allows the franchisors to

attract prospect franchisees to invest money in their franchise brands. It also provides a

sense of security to the franchisee that they are investing in a business that will yield a

positive cash flow.

Teachability

Teachability is a factor that is very critical to the success of franchise

business. A good franchise business model should be simple and understandable by

others. This is because a franchise business requires the franchisees to have common

understanding regarding running a business. There must be a standard quality of goods

and services provided by the franchisees in order to keep the positive reputation of the

franchise business. Therefore, the first step in running standard operation is to ensure

that all franchisees understand the business concept in the same manner, so that they

can similarly run the same franchise business model no matter where the branches are

located.

Transferability

Transferability is about being able to adapt anywhere. A good franchise business

must be able to adapt to the environment no matter where its branch is located.

Successful franchise business should be able to expand into other regions and transfer

its business model into other regions successfully.

Branding

A good franchise business must have strong brand, especially in restaurant

13

business. The brand must be identifiable by the consumers. These things can be achieved

by branding management. Branding is about the process of creating a name and symbol

or logo for a business in the consumer’s mind. Nowadays, people are heavily influenced

by brands. They are more inclined to buy a product just by seeing the brand name that

they trust. Consumers often relate a strong brand with high quality product and service.

They often assume that a product with a brand of good reputation should offer high

quality of goods and service in general. Therefore, a good franchise restaurant business

should focus on building its brand to ensure that the consumers have positive perception

whenever they think of its brand. This is very important for franchise restaurant business

because people are very selective when it comes to consuming food or beverages and a

strong brand will provide a sense of trust for the consumer to choose where they will

eat.

14

CHAPTER V

RECOMMENDATION FOR PRACTICAL USE

We have identified the 5 key factors for assessing franchisability for

franchise restaurants in Thailand, which include Systematization, Profitability,

Teachability, Transferability and Branding. These key factors can be used to create a

criteria table to assess the franchisability of a business. The Franchisability Criteria

Table proposed in this research can be used as a basic tool to assess the feasibility of

franchising for a business. The table below shows the scoring model for franchisability,

which incorporates the 5 most important key success factors identified in the research.

Table 5.1 Franchisability Criteria Evaluation Table

Key Factors Your Franchise Competitor 1 Competitor 2

Systematization

Profitability

Teachability

Transferability

Branding

Total Franchisability

Score

The table above illustrates the franchisability criteria table, which can be

used to determine the franchisability score for a business compared to its competitors.

Each key factor is given a score range from 0 to 10. The evaluation criteria for each key

success factor is as follows;

Systematization: The efficiency of a business model in terms of staff training,

equipments and daily operations.

Profitability: Operating profits, gross margin, ROI

Teachability: The ability to teach a business model to others and ensure that they

understand

Transferability: The adaptability of a business to run itself the business

15

anywhere in the world

Branding: How well do people perceive the brand of a business.

The sum of the score for each key success factor will be added up to

calculate the total franchisability score of a business. The total franchisability score

indicates the likelihood of success for a franchise restaurant business. The maximum

attainable franschisability score is 50. The table below illustrates the score scale of

franchisability based on the score range;

Table 5.2 Franchisability Score Table

Franchisability Score Likelihood of Success

50-46 Very High

45-41 Moderately high

40-36 Moderate

35-31 Low

30-26 Very low

25 and below Not franchisable

This model is very simple to understand. It can be used by franchisors to

assess the franchisability score of their businesses compared to their competitors. In

contrast, franchisees can also use this scoring model as a tool to compare which

franchise business they should invest. Franchisees should be looking to invest in a

business with the highest overall franchisability score, because these businesses will

have higher chance to succeed as a franchise.

16

CHAPTER VI

FUTURE RESEARCH

There are many directions that this research can be further explored. For

example, we can go deeper in the quantitative analysis and employ more sophisticated

statistical tools such as the regression model. We can use the regression model to

determine a formula for calculating the franchisability score by using the key factors

proposed in this research as the independent variables.

Another statistical tool, which can be used to explore this research further is

the Factor Analysis. The Factor Analysis is a method primarily used for data reduction

and summarization. We can assign the key success factors as attributes and go through

the process of attribute elimination to eliminate the unnecessary factors. This will allow

us to identify the key factors, which are truly important for assessing franchisability.

We can also expand our research scope to include other types of businesses

apart from franchise restaurant. There are many industries that are suitable for

franchising strategy such as apparels, accessories, real estates, and Healthcare products

& services. We can conduct a survey on people working in these particular industr ies

and determine a different set of key success factor for each industry.

While both the regression analysis and factor analysis are impress ive

statistical tools, they often require large amount of sample in order to gain reliable

results. We need to collect at least several hundreds of samples in order to gain a large

enough sample size to run the regression analysis and factor analysis properly. It will

be a tedious amount of work, but it will definitely pay off with the reliable results, which

will help us determine the franchisability of a business in a more effective manner.

Apart from regression analysis and factor analysis, we can also implement

AHP or Analytic Hierarchy Process to explore further into the key success factors

identified in this research. AHP is essentially a mathematical technique used in research

for decision making purposes. It has broad range of practical usage from buying a family

car to choosing a leader for an organization. In this case, we can use AHP to analyze the

17

key criteria and the sub criteria with respect to the franchisability of a business.

Figure 6.1 Sample AHP Diagram

In addition to the quantitative analysis techniques, we can also explore on

an entirely different perspective, which is qualitative research. We can conduct an in-

depth interview with the branch managers that we surveyed in this research to get much

deeper insights regarding their point of views on why they believe certain key success

factors are far more important than other key success factors. This approach through

qualitative method will allow us to gain deeper understanding on the importance of each

key success factor and how they contribute to the success of franchise restaurant

businesses.

18

CHAPTER VII

CONCLUSION

The purpose of this paper is to determine the key success factors for

assessing the franchisability of franchise restaurant business. I have initially identified

10 key success factors gathered through literature reviews from various academic and

business journals. Then, after analyzing the data obtained from surveying 30 branch

managers in successful franchise restaurants through quantitative approach, we are able

to eliminate the less important key factors. According to the research results, we can

identity the 5 most important key success factors for franchise restaurant business. Thus,

we can use these key success factors as the criteria to assess the franchisability of

franchise restaurant business.

While it is very difficult to truly assess the franchisability of a business

without deep amount of data analysis, we can at least use the key success factors

proposed in this research to primarily evaluate the company’s readiness for franchis ing,

which can be used to determine the likelihood of its success in launching a franchise

business.

19

REFERENCES

Tauber, E.M., 1988. Brand Leverage: Strategy for Growth in a Cost-Controlled World.

Journal of Advertising Research, Vol.28, P26–30.

Tauber, E.M., 1981. Brand franchise extension: New products benefit from existing

brand names. Business Horizons, Vol.24, P36–41.

Thompson, 1994. The franchise life cycle and the Penrose effect. Journal of Economic

Behavior and Organization, Vol.24, P207-218.

Anderson, E.E., 1984. The growth and performance of franchise systems: Company

versus franchisee ownership. Journal of Economics and Business, Vol.36,

P421-431.

Boroian D., Boroian P. 1987. The Franchise Advantage, P46-49.

Oxenfeldt, A.R., Kelly, A.O., 1968. Will successful franchise systems ultima te ly

become wholly owned chains? Journal of Retailing Vol.44, P69–83.

Weaven, 2009. Exploring brand extension in the context of franchising. ANZMAC

2009, P1-17.

Waters, 2014. The six key success factors for franchises. SmartCompany.

http://www.smartcompany.com.au/growth/franchising/43927-the-six-key-success-

factors-for-franchises.html

12 criteria for franchisablity, Ifranchisegroup.

http://en.wikipedia.org/wiki/Analytic_hierarchy_process

http://www.ifranchisegroup.com/franchise-your-business/criteria- for- franchisability/

20

BIOGRAPHY

NAME Mr. Worawat Srisawasdi

DATE OF BIRTH 24 October 1984

PLACE OF BIRTH Lampang, Thailand

INSTITUTIONS ATTENDED Bachelor Degree in Business

Administration(International Business

Management), Chulalongkorn University,

2010

Master of Management, Mahidol

University, 2015

HOME ADDRESS 99/100 Soi Vipawadee 60 Vipawadee-

Rangsit Road Laksi Bangkok 10210

Mobile: 097-234-5806

E-mail: worawat2555@gmail.com

EMPLOYMENT ADDRESS 2/111 Tossapol Land Building 4 Soi

Bangna-Trad 25 Bangna Bangkok 10260

Tel: 085-835-3037

PUBLICATION / PRESENTATION -