The main reason why franchise chains have been developed rapidly is that they have the following advantages:
1. Because headquarters has a prehistory system, well-known brands, operation and management experience can be directly utilized, compared with their own entrepreneurship at the moment, capital and spirit have reduced a lot of burden. As far as no business experience is concerned, acquiring the right to use well-known trademarks, improving the popularity of franchise stores quickly and gaining advanced management experience can be carried out in a relatively short time, effectively reducing the risk of failure.
2. Chain headquarters has strong and systematic product development ability. Every year, every quarter and every month, new products will be on the market, and every franchisee will have uniform and robust product assurance ability. Franchisors do not need to set up their own product development parts to enjoy the benefits of this brand management.
3. Because headquarters handles sales promotion, goods, and even accounting affairs as a whole (some headquarters also have a full set of computer accounting systems for franchise stores to use), franchise stores can concentrate on sales operations without any hindrance.
4. Franchisors can obtain exclusive operation rights in the franchise area, avoiding vicious competition. Because they inherit the goodwill of the chain system, franchisors can give customers a reassuring pill.
5. Headquarters can provide all the validity that it should be able to carry out in the period of cooperation. Such as pre-service training, business lessons, marketing planning, management methods, decoration norms and other guidance, and provide sophisticated management systems and professional elite guidance. Headquarters Commissioner punctual on-site lessons franchised stores, so that franchised stores reduce the risk of loss.
6. Headquarters enjoys the advantage of advancing price of products brought by huge marketing network, so it is beneficial for franchisors to obtain competitive brand-name products.
7. If there are competitors, self-employed entrepreneurs need to deal with them alone, while franchise stores have headquarters to support them.
8. For the allies, the choice of the place to open a shop can be consulted with the headquarters, which can make an assessment of the location conditions or assist in finding a good location. Together, headquarters can provide timely and fast goods information and professional and detailed analysis report forms, so as to seize the first opportunity in competition.
9. Because the headquarters conducts shopping mall investigation on the surrounding environment at any time, including changes in the shape of the customer layer, changes in consumer orientation and so on, franchise stores can adopt countermeasures as early as possible.
10. The success of the franchisors is the success of the headquarters, which is also equivalent to helping the headquarters expand the shopping mall. The headquarters is happy to see the success. Therefore, the headquarters of the franchise stores with good performance, there are also incentives and benefits.
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