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Commitment in Franchising: The Role of Collaborative Communication and a Franchisee's Propensity to Leave

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  • William R. Meek
  • Beth Davis–Sramek
  • Melissa S. Baucus
  • Richard N. Germain

Abstract

Social exchange theory provides the basis for developing a model where collaborative communication from the franchisor relates positively to commitment, and commitment relates negatively to franchisees’ propensity to leave the relationship. We analyze data from a unique dataset of 200 franchisees and find partial support for this model; franchisor communication positively relates to one dimension of franchisee commitment, and one dimension of commitment negatively relates to propensity to leave. The study expands franchising theory by examining the franchising relationship from a social exchange perspective and by empirically demonstrating the important role commitment plays in the franchising context.

Suggested Citation

  • William R. Meek & Beth Davis–Sramek & Melissa S. Baucus & Richard N. Germain, 2011. "Commitment in Franchising: The Role of Collaborative Communication and a Franchisee's Propensity to Leave," Entrepreneurship Theory and Practice, , vol. 35(3), pages 559-581, May.
    • Handle: RePEc:sae:entthe:v:35:y:2011:i:3:p:559-581
    DOI: 10.1111/j.1540-6520.2011.00445.x
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    References listed on IDEAS

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    5. Frazer, Lorelle & Winzar, Hume, 2005. "Exits and expectations: why disappointed franchisees leave," Journal of Business Research, Elsevier, vol. 58(11), pages 1534-1542, November.
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    Cited by:

    1. Meiseberg, Brinja & Perrigot, Rozenn, 2020. "Pricing-based practices, conflicts and performance in franchising," European Management Journal, Elsevier, vol. 38(6), pages 939-955.
    2. Xiaoxue Liu & Jingyun Zhou & You Wu & Na Hao, 2022. "The Influence of Party Organization Involvements in Corporate Governance on Innovation: Evidence from China’s Private-Owned Enterprises," Sustainability, MDPI, vol. 14(24), pages 1-30, December.
    3. Mohamed H. Elsharnouby & Tamer H. Elsharnouby & Chanaka Jayawardhena & Alaa M. Elbedweihy, 2024. "Consumers as volunteers? The influence of value congruence on consumers’ voluntary performance," Journal of Marketing Analytics, Palgrave Macmillan, vol. 12(2), pages 445-464, June.
    4. James G. Combs & David J. Ketchen Jr & Jeremy C. Short, 2011. "Franchising Research: Major Milestones, New Directions, and its Future within Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 35(3), pages 413-425, May.
    5. Hadjielias, Elias & Dada, Olufunmilola (Lola) & Eliades, Kostas, 2021. "Entrepreneurial process in international multiunit franchise outlets: A social capital perspective," Journal of Business Research, Elsevier, vol. 134(C), pages 13-28.
    6. Francesco Chirico & Dianne H. B. Welsh & R. Duane Ireland & Philipp Sieger, 2021. "Family versus Non‐Family Firm Franchisors: Behavioural and Performance Differences," Journal of Management Studies, Wiley Blackwell, vol. 58(1), pages 165-200, January.

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