APPLIES TO ACADEMIC YEAR 2015/2016 Norwegian version

ELE 3759 Franchise

Responsible for the course
Jan Ivar Fredriksen

Department
Department of Marketing

Term
According to study plan

ECTS Credits
7,5

Language of instruction
Norwegian

Introduction
Well known brands, such as Wayne’s Coffe, Ben & Jerry’s, Subway, 7-Eleven, McDonalds, Rema 1000, Topshop, Match, Økonor, Aktiv Eiendomsmegling, Avis, Hertz, Grete Roede and Choice Hotels are all examples of brands that are developed through Franchise as organizational system.

Franchise is among the most used forms of organizations which is based on market-based management. Franchise is known for its central management of brand development and education, combined with local sales, and distribution and service to end customers. Today franchise can be found in a variety of industries, such as retailing, B2B, cars, real estate, and personal services, to education, hotel and restaurants, to mention some.

Participants in this course in franchise will gain theoretically knowledge, practical skills, and analytical capability to be able to succeed within franchise. The program combines theoretical and practical knowledge through lectures, cases and experienced guest lecturers from the industry.

This course is relevant for persons who:

• want to run their own franchise unit
• want to work with the management of franchise chains
• want to work at the head quarter of a franchise chain
• work within an industry that is relevant for franchise.

• Gained knowledge about the most relevant perspective theories that give an insight to franchise systems.
• Gained basic knowledge and be familiar with the newest research within franchise.
• Gained basic knowledge within operation and developing franchise systems.
• Developed an understanding of how external factors influence operations and the monitoring of franchise units.
• Developed the insight necessary to recruit and train franchisees.
• Knowledge of the newest international trends in developing and operating franchise systems.

• How to use tools that develops a franchise concept as a brand.
• How to create, establish and monitor a franchise system.
• How to account for how a franchisor works in relation to a franchisee.
• How to monitor success and failure of a franchisee, and how to terminate a contract in an ethical manner with an unsuccessful franchisee.
• How to operate and develop an international franchise system.

• Be able to see the value in franchise as a form of organizational structure that creates mutual value for the end user, the franchisee and the franchisor.
• Be able to see the whole picture and the importance of continuous cooperation.
• Be able to see the importance of a solid, harmonious and financial secure situation for the parts in the agreement.
• Be able to create awareness at all levels that every element in the franchise system is equally important.

• The history behind and the development of franchising as a concept.
• How to develop a franchise system, including choice of pilot.
• Brand building through franchise
• Marketing to generate profit, draw new franchisees and make them participate financially
• Franchisor start-up and on-going support service.
• Recruit, select and train franchisees.
• Franchise fees.
• The challenge of free raids within franchise.
• Franchise relationships and how to avoid conflicts and misuse.
• Franchise concepts for scale advantages, market and efficiency benefits.
• Franchise concepts for creating international value.
• Case studies

We will choose a case from the beginning of the course to create an understanding of the most known elements of franchise:

1. From idea to franchise concept.
2. From local business to franchise concept.
3. From self-owned branches to an effective franchise concept.
4. From retail distribution to a solid franchise concept.
5. From cooperation to a franchise concept.