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Whither franchising? The case of Avis Europe PLC

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  • Lowell R. Jacobsen

    (Baker University, Kansas, USA)

Abstract

This case study of Avis Europe PLC examines the diminished role of franchising in the vehicle leasing firm's achievement of market dominance in Europe. Market maturity, industry consolidation, adoption of centralised, efficiency-oriented technologies, and strategic alliances are the principal factors in accounting for the decline in the reliance on franchisees for local entrepreneurship and market expansion. Though many theories of franchising find at least some support in this study, the life cycle or ownership redirection explanation proves particularly compelling. Copyright © 2004 John Wiley & Sons, Ltd.

Suggested Citation

  • Lowell R. Jacobsen, 2004. "Whither franchising? The case of Avis Europe PLC," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 25(8), pages 525-535.
    • Handle: RePEc:wly:mgtdec:v:25:y:2004:i:8:p:525-535
    DOI: 10.1002/mde.1183
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    References listed on IDEAS

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    Cited by:

    1. Olivier Cochet & Thomas Ehrmann, 2007. "Preliminary evidence on the appointment of institutional solutions to franchisor moral hazard-the case of franchisee councils," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 28(1), pages 41-55.
    2. Steven C. Michael, 2009. "Entrepreneurial signaling to attract resources: the case of franchising," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 30(6), pages 405-422.

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