Formal control influence on franchisee trust and brand-supportive behavior within franchise networks

YAKIMOVA, Raisa, OWENS, Martin and SYDOW, Jörg (2018). Formal control influence on franchisee trust and brand-supportive behavior within franchise networks. Industrial Marketing Management.

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Official URL: https://www.sciencedirect.com/science/article/pii/...
Link to published version:: https://doi.org/10.1016/j.indmarman.2018.07.010
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    Abstract

    Although management scholars recognize that intention of formalization influences the manner in which formal controls are applied within organizations, this issue has been largely overlooked in research on strategic alliances including franchise networks. We investigate formalization intent (the way in which controls are initiated and executed) by asking: How do franchisor formal controls promote trust and brand-supportive behavior among franchisees? On the basis of case study research involving retail franchises, we develop a framework that explains how formal controls counter-intuitively promote franchisee brand-supportive behavior via trust-building. Our study contributes to understanding the complementary relationship between formal and social control on promoting partner trust and co-operation. These insights move research beyond the present preoccupation with the complementary influence of formalization degree and content.

    Item Type: Article
    Research Institute, Centre or Group - Does NOT include content added after October 2018: Sheffield Business School Research Institute > Finance, Accounting and Business Systems
    Identification Number: https://doi.org/10.1016/j.indmarman.2018.07.010
    Depositing User: Carmel House
    Date Deposited: 12 Sep 2018 12:08
    Last Modified: 16 Nov 2018 13:16
    URI: http://shura.shu.ac.uk/id/eprint/22399

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