Food retailing in India is finding its recipe for success in franchising. While companies are looking for partners who can invest and help in branding, they feel that there is a need to sift the committed entrepreneur from wannabes to get the best out of the franchising model.
“The promise that franchising holds still remains to be exploited. There are many issues on this front; individual franchisees are found wanting in commitment towards the business as they are too focused on short-term returns, which hurts the brand in the long-term. The commitment has to be 100 per cent and you cannot treat the franchise business as another business in the portfolio,†said a spokesperson of McDonald’s India (North & East).
There was an urgent need to impart more education on the franchising model, the spokesperson said, adding “the initial expansion has to come through ownership and management modelsâ€.
Opportunity on a platter… read on.