Académique Documents
Professionnel Documents
Culture Documents
Prepared by :
Framed by :
TMIQ Abderrahim
Mlle ELIMADI Imane
LAASSILIA Fatima Zahra
RHAZI Loubna
Franchising
Summary
A.What is Franchising
B. Types of Franchising Agreement
C. Types of Franchising
D.Benefits and drawbacks
E. What Franchisor controls on franchisees
F. Famous examples of franchises
G. Conclusion
Franchising
Definition of franchising
Franchising is a form of business organization in
which a firm that already has a successful
product or service (franchisor) licenses its
trademark and method of doing business to
another business or individual (franchisee) in
exchange for a franchise fee and an ongoing
royalty payment.
Franchising
Definition of franchising
Franchisor
Franchisee
The
in the franchise
Anparty
entrepreneur
whose
contract
the a
powerthat
is specifies
limited by
methods
to be followed
contractual
agreement
and the
terms
to be met by
with
a franchisor.
the other party
Franchising
Franchising
It is an agreement or license between two legally
independent parties which gives:
o A person or group of people (franchisee) the right to
market a product or service using the trademark or trade
name of another business (franchisor)
oThe franchisee the right to market a product or service
using the operating methods of the franchisor.
Franchising
Franchising
Franchising
TYPE OF FRANCHISING
AGREEMENT
I. Individual Franchise Agreement
Franchising
Franchising
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10
FranchisorFranchisee relationship
Regulated by contract which usually covers:
Initial fee
Royalty fee/Management fee
Capital required from franchisee
Territory/Area of operation
Duration of license and renewal
IPRs / Intellectual Property Rights franchise
Termination
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Types of franchising
running their business. The industries where you most often find this type of
franchising are soft drink distributors, automobile dealers and gas stations.
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Examples
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13
Produces the
syrup
concentrate
Sells the
syrup
concentrate
FRANCHISEE
Retail Stores
Restaurants & F&B
Outlets
Vending Machine
Operators
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retail
automotive
maintenance
retailfood
lodging
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Example
Sale, Australia
outlet in
outlet in
Marseille, France
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Franchising in Morocco
Franchising in Morocco started in the 60s ;
the appearance of a new franchise every two
to six months ;
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Franchising Activity
45%
55%
Distribution
Service
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Franchisees
50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
Franchisees
French
American
Others
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Why Franchising ?
7%
30%
47%
Brands
Support and help
Supply of goods
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20
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21
yourself.
A franchise provides franchisees with a certain level of independence where
This gives the franchisee the benefits of customer awareness which would
ordinarily take years to establish.
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22
site selection
design and construction
financing (in some cases)
training
grand-opening program
Franchises offer on going support
training
national and regional advertising
operating procedures and operational assistance
ongoing supervision and management support
increased spending power and access to bulk purchasing
Franchising
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Franchising
24
Franchising
25
26
ASIA
Franchising
27
MOROCCO
Franchising
28
KFC
Yves rocher
Franchising
29
Carrefour
ZARA
Franchising
30
Mr. Bricolage
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31
Conclusion
32
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33
Terminology
Business format franchise : this type of franchise includes not
Franchisee : The person or company that gets the right from the
franchisor to do business under the franchisors trademark or trade name.
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35
Bibliography
Thanae Bennani, Fdration Marocaine de la
Franchise (FMF), Report : Morocco Franchise
Market Information ;
SSELINK,
M.
W.
[Ed.]
,
Commercial
agency, franchise and distribution contracts: (PEL
CAFDC) ;
PETERS,
L.,
Franchising
in
international
organisations,
International
Journal
of
Franchising and Distribution Law, 1 (1999), 255263.
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36