Performance and Risk as Signals for Setting up a Franchised Business

Potential franchisees who wish to start up a business need to seek information signals. The aim of this paper is to analyze the relationship between performance and risk as signals of the quality of the franchise chains and the decision to choose one of them taken by the potential franchisee who wis...

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Detalles Bibliográficos
Autores: Calderón Monge, Esther, Huerta Zavala, Pilar Angélica
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2013
País:España
Institución:Universidad de Burgos (UBU)
Repositorio:Repositorio Institucional de la Universidad de Burgos (RIUBU)
OAI Identifier:oai:riubu.ubu.es:10259/9627
Acceso en línea:http://hdl.handle.net/10259/9627
Access Level:acceso abierto
Palabra clave:Business risk
Entrepreneurs
Franchise
Risk tolerance
Signaling theory
Comercio
Commerce
Descripción
Sumario:Potential franchisees who wish to start up a business need to seek information signals. The aim of this paper is to analyze the relationship between performance and risk as signals of the quality of the franchise chains and the decision to choose one of them taken by the potential franchisee who wishes to set up a business for the first time via franchising. The results show that performance and risk operated as recognized signals for choosing a franchise chain among those which were operating in Spain during 2002-2008.