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Determinants of E-Commerce Adoption by Franchisors: Insights from the U.S. Market

26th Annual International Society of Franchising Conference, 2012

Center for Research in Economics and Management Working Paper No. 2012-06

40 Pages Posted: 13 Feb 2012  

Rozenn Perrigot

Université de Rennes I - Graduate School of Management (IAE-IGR)

Thierry Pénard

Université de Rennes I - Faculte de Sciences Economiques; Centre de Recherche en Économie et Management (CREM); Armorican Mole for Research on the Information Society and Uses of the Internet

Date Written: January 13, 2012

Abstract

E-commerce has grown tremendously over the past decade. This paper focuses on E-commerce adoption within the franchising sector. We formulate various hypotheses on the factors that influence the adoption of an E-commerce strategy by franchisors, namely the percentage of company-owned stores in the network, network size and age, franchisor resources (franchising fees and franchising royalties), and the allocation of exclusive territories to franchisees. The empirical study relies on a sample of 486 franchise networks in the U.S. market. Our findings suggest that the percentage of company-owned stores and the brand image, as represented by network size, both exert a significant and positive impact on the adoption of an E-commerce strategy, whereas network age and franchising royalties exert a significant and negative impact on the adoption of such a strategy. These findings are discussed with respect to previous research results.

Keywords: E-commerce, franchising, determinants, plural form, brand image, franchisors' resources

Suggested Citation

Perrigot, Rozenn and Pénard, Thierry, Determinants of E-Commerce Adoption by Franchisors: Insights from the U.S. Market (January 13, 2012). 26th Annual International Society of Franchising Conference, 2012. Available at SSRN: https://ssrn.com/abstract=2004514

Rozenn Perrigot (Contact Author)

Université de Rennes I - Graduate School of Management (IAE-IGR) ( email )

11, rue Jean Macé
CS 70803
Rennes, Cedex 7 35708
France

HOME PAGE: http://www.rozenn-perrigot.com

Thierry Pénard

Université de Rennes I - Faculte de Sciences Economiques ( email )

7, Place Hoche
35000 Rennes
France

Centre de Recherche en Économie et Management (CREM) ( email )

7 place Hoche
Rennes, Bretagne 35065
France

Armorican Mole for Research on the Information Society and Uses of the Internet ( email )

France

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