Opportunistic behavior by franchisees, who use a natural disaster to unethically profit from a tragedy, can cause significant harm to a franchise system and its brand. A story of a motel franchisee charging rates that are 620% above its normal seasonal rates after Hurricane Sandy illustrates the public relations issue and the importance of dealing with such problems quickly and decisively.
Category: The Business of Franchising
Speaking At Denver Franchise Show This Weekend
This weekend (September 29 and 30) I am speaking at the National Franchise and Business Opportunities Expo at the Convention Center in Denver, Colorado.
Breaking A Link In The Chain: Franchising Lessons From The Bourne Legacy
The events in the movie The Bourne Legacy have some similarities to what can sometimes happen among and to franchise systems. Like the “Treadstone” organization, franchise systems/chains are only as strong as each of their links. When a link is broken, it can threaten the entire chain.
Fiscal Times Discusses Taxes On Out-Of-State Franchise Companies
A recent article in Fiscal Times discusses the issue of state income tax on out-of-state franchisors, a trend that is growing in popularity among a variety of states.
Business Lessons Learned From “The Dark Knight Rises”
In “The Dark Knight Rises,” Bruce Wayne / Batman learns a valuable lesson about how dangerous complacency can be, as he is completely unprepared for the threat that is Bane. The lesson learned by Wayne is one that applies equally to franchise systems and other businesses: overconfidence and complacency can be hazardous to the long-term survival of the system.
Flap Over Chick-Fil-A Stance Highlights Risk For Franchise Systems
The recent comments by Dan Cathy, the President of Chick-Fil-A, about the legal definition of marriage, has created controversy. The Chick-Fil-A situation presents a good learning opportunity for franchisors and franchisees who need to understand the risks and potential fallout that can result from taking sides in hot-button political issues.
Forward Franchising 