Corporate social responsibility (CSR) is much discussed by researchers and executives and often occupies a prominent position on corporate Internet sites. Yet, little is known about CSR initiatives in franchising, although there are significant organizational differences between corporate firms and franchised chains. Building on the strategic view of CSR and using data from 76 franchise systems, this study explores the prevalence and performance outcomes of CSR in franchising. We focus on system‐specific, industry, and competitive factors that determine the degree to which franchise systems behave in a socially responsible manner and on performance effects of CSR initiatives targeted toward various stakeholder groups.

International audienceAlthough the literature has provided ample evidence for the decisiveness of the franchisor–franchisee relationship in explaining organizational success or failure, performance effects of franchisee–franchisee relationships remain largely unexplored. Yet a growing body of research indicates that by building interfranchisee relationships, franchisees can form advice networks in the chain. Such networks offer privileged access to resources such as knowledge, information, and best practices that help individual franchisees to become more productive. In this context, we study linkages between a franchisee's centrality in franchisee relationships and various individual performance outcomes, using comprehensive data from franchisees in 3 different chains in the largest European franchise market, France. We find that conditional on the specific governance structure of each chain, the results document a strong impact of centrality in advice networks on franchisee performance. Accordingly, we offer theoretical contributions concerning knowledge-sharing processes in franchise chains, and managerial implications as regards more effective cooperation management in practice, from the perspective of both a franchisee and a franchisor

Small and medium‐sized enterprises (SMEs) face critical challenges in implementing collaborative strategies, including the difficulty of finding partners, the strain on managerial resources, and the risk of exploitation by larger partner firms. However, little is known about tendencies to network in SMEs. This paper builds on organizational economics and the resource‐based perspectives. Survey data from 348 German SMEs reveal that predictions from both theories play a role for the tendencies of SMEs to network, yet organizational capabilities in terms of coordination and communication and bonding in alliances are most relevant for cooperation decisions. We provide managerial implications for cooperation involving SMEs. Copyright © 2012 John Wiley & Sons, Ltd.

International audiencePurposeThe purpose of this paper is to offer a novel perspective on resale pricing in franchising, i.e. from a franchisee perspective, by combining legal and managerial considerations in the European context. The objective is to assess franchisee perceptions regarding resale pricing in their chains.Design/methodology/approachThe authors adopt a qualitative approach and use 46 in-depth interviews with franchisees covering retail and service industries in the French market.FindingsMany of the interviewed franchisees believe that joining a franchise chain involves respecting the recommended resale prices. For some of the franchisees, in link with the chain uniformity, imposing uniform resale prices throughout the chain represents a strength, because customers who visit different stores within the franchise chain expect to find consistent pricing. Moreover, many franchisees consider that their franchisors have some know-how that they use to set correct resale prices, taking into account the profit margin.Research limitations/implicationsThis research contributes to the literature on resale pricing in franchising, as well as the franchising literature in general, by combining legal and managerial considerations, adopting a franchisee perspective, covering retail and service industries and focusing on French and European markets.Practical implicationsThis research can be viewed by franchise experts, franchisors, franchisees and franchisee candidates as a synthesis of resale price-related legal aspects, adopted practices and potential conflicts in franchise chains in the French market. It also highlights price-related practices to be avoided to prevent potential conflicts.Originality/valueThe subject of resale pricing in franchise chains is a hot topic, because of its link with customer attraction, chain uniformity, franchisor know-how, franchisee autonomy and the legal dimension

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