Add another layer to your #Business literacy. We at Serebral360° would love to know if the Forbes – Entrepreneurs article was helpful, leave a comment, like and share. Let’s dive in and discuss the information and put it to use to grow your business. #BusinessStrategy #ContentMarketing #WebDevelopment #BrandStrategy
Info@serebral360.com 762.333.1807 www.serebral360.com
Grap a copy of our NEW Business Stratgety Books #FFSS VOL1 and #FFSS VOL2
All franchises originate from a concept, which is essentially an idea, which forms a nucleus or core around which other business activities are framed. Success primarily depends on how well planned and secure this core is. Making this core as unique as possible is the most creative and innovative tasks for an entrepreneur. Theoretically, concepts serve as norms or models with things fluctuating in some respects while others remaining constant. For example, in case of restaurants, convenience and service may be more important constant than the menu itself. McDonald’s concept has quality, value, service and convenience; Domino’s pizza focuses on delivery; Chick-fil-A on family service; and Subway on freshly prepared sandwiches. Although each of these restaurants serve menu items, the special uniqueness of the products or services, makes them different from each other. A stronger concept results in a successful franchise. In addition, it should fulfill needs of the desired customers to as greater extent as possible. Above all, the concept will not be susceptible to copying if it is protected by some unique properties acting as a firewall.
Attributes that make a concept remarkable
The simpler a concept is, greater are the chances of its success as a franchise. A restaurant may be the most popular and successful restaurant in town with a number of enticing menu delicacies but may fail when it is franchised. Understanding the intricacies of franchising is a prerequisite for developing a franchise concept. An essential component of franchising is the capability to replicate, which requires effective training. Complicated concepts whether related to products and/or services make it difficult to train and consequently expand rapidly.
The entire concept and its components should be capable of replication on demand without jeopardizing the quality. A particular sandwich bought in California from a franchise restaurant should look and taste exactly the same as one bought from the same brand restaurant franchise in New York or elsewhere. The replication capability of a franchise reflects on the quality of its product or services. The impact on the quality of the concept components due to mass scale production of products or wider outreach of services, demands careful consideration.
Availability of Resources
Desired physical, material or human resources for a concept should be readily available at any location the franchise is planned to reach. This is one of the reasons why franchises try to glocalize when they expand globally. It is not only the availability but also the desired quantity. Most franchises find it difficult to get the ingredients with specific requirements locally or internationally. Hardware components, ingredients, skilled workers, equipment and required components may not be easily available. For some franchise restaurants, it was difficult to secure required quality vegetables, pepperoni, or coffee beans at various locations. Not only must products/ingredients be available, they must meet required specifications. Seasonal and regional fluctuations in demand also needs consideration.
The desired quality of products and services should be stable all year round. The final product depends on how quality can be maintained wherever the franchise would go, in essence, maintaining the shelf life of the concept. Procedures, seasonal variations, and location should not adversely affect the quality of the finished product. Quality may relate to physical, chemical, sensory, safety or operational aspects. Any compromise may affect the brand image of the entire franchise system. Impact of environmental conditions or lack of required resources can also affect concept authenticity. Maintenance of quality should cover the entire process from origination to consumption or use.
Serviceability goes hand in hand with the above-mentioned attributes as an important component of franchise success. The maintenance of concept depends on its capability to provide services when and where needed. It includes the consideration of the capability of a concept to reach its consumer without adversely affecting its basic characteristics. The durability and the shelf life of the concept need additional consideration.
Final attribute of a successful concept is its potential to be adaptable. The dynamic nature and constant technological changes demand adaptability. The concept should be able to withstand the changes in consumer habits. Enough built-in flexibility of a concept is definitely a desirable attribute. Franchises that can modify and adapt to circumstances without changing the basic core are the most successful ones.
Well planned concepts turn into successful franchises!!
March 4, 2019 at 03:18PM
Forbes – Entrepreneurs