Big businesses, trying to access untapped markets and under pressure because of the global economic crisis, are moving into the townships and selling franchises to locals who sometimes do not have the experience to operate them.
Without adequate support, many are doomed to fail. Many of these franchisees say they feel they have been set up to fail by companies that refuse to provide the support necessary for retailers operating in the often unique conditions of the townships.
Entrepreneurs need to plough large amounts of money into these businesses and franchising also means conforming to uniformity, which can be costly. Some also have other problems, such as the location of their businesses. Full article.