Franchisor-franchisee relationship quality: time of relationship and performance

• Autor(a) principal: Varotto, Luís Fernando
• Data de Publicação: 2016
• Outros Autores: Parente, Juracy Gomes
• Tipo de documento: Artigo
• Idioma: eng
• Título da fonte: Revista de Administração de Empresas
• Texto Completo: https://bibliotecadigital.fgv.br/ojs/index.php/rae/article/view/64790
• topic: Franchise; Relationship quality; Financial performance; U–curve theory; Time of relationship; Franquicia; Calidad de relaciones; Desempeño financiero; Teoría de la curva U; Tiempo de relaciones; Franquia; Qualidade de relacionamento; Desempenho financeiro; Teoria da curva em U; Tempo de relacionamento

Franchise literature disputes how the relationship between franchisors and franchisees develops over time. Traditional lifecycle theory views relationships following an ascendant curve, in which relationship quality and performance strengthen over time. Another perspective better reflects the peculiarities of the franchisor-franchisee relationship, indicating that relationship quality in franchise systems follows a U-shaped curve. There is also limited research on the moderating effect of time on the relationship between relational variables and outcomes. This study sheds light on the influence of relationship duration on relationship quality and financial performance in the franchisee-franchisor relationship. Using a self-report survey from a sample of 342 franchisees, mean and regression analyses are conducted to test relationships. Results confirm the time effect on franchisor-franchisee relationship quality and performance, but the hypothesized shape of relationship phases is only partially confirmed. Moreover, time has a positive moderating effect on the impact of relationship quality on financial performance.