APA RESEARCH PAPER

Research Paper

Research Paper

Impact of customer Perception of International Franchising and its Growing Market: The Case of Saudi Arabia

Introduction

The franchising concept has been popular with younger generation of entrepreneur starts increasing in Saudi Arabia. Food franchiser are become more popular in young generation includes Mc Donald's, Burger King, Pizza Hut, Hardees Chillies, TGI in addition to local franchisers (Paswan & Kantamneni, 2004). Howver, present research is the fact that fanchsing has not been properly examined perception of customer especially in Saudi Arabia. Aim of this report is to fill this gap.

Research Aims

Objective of this study will examine the customer perception that whether franchising is an effective tool in industrializing market. Through empirical research we will examine the forces that drive concept of franchising popularity as business route success (Sashi & Karuppur, 2002).

Literature Review

Past studies raise various issues that create clear understating between the marketing strategies and adoption of franchising system in world developing economies (Kirby & Watson, 1999; Sashi & Karuppur, 2002). Most of the issues are the relates to market entry, market mix, market penetration, control and support system, quality control and language barriers.

Study examine that entrepreneurs is important in industrializing market where Small and medium size (SMEs) play dominant role in both domestic and international franchising (Sanghavi, 1998). Sashi & Karuppur, (2002) indicates that entrepreneur make franchise market reality because they privilege access to foreign actor network.

Hypothesis

Based on the above discussion, following hypothesis is advanced for study on Saudi Arabia:

H1: perception of customer about franchising benefits relates positively to their perception about franchising impact on SMES and Culture.

Research Methodology

Questionnaire will design on based on literature. For data collection, formal survey will administer in two industrial cities of Saudi Arabia. The survey questionnaire will distributed to 500 business community who somehow related to franchising. ...