I am Tariq Bin Aziz, From Southeast University, Bangladesh. I made this presentation on E.coli. I think you will be benefited by my presentation. Thanks All.

1. FRANCHISE
Course title: Pharmaceutical Management & Inventory Control
Course code: BPH 3027
Presented to:
Tahmid Faisal
Lecturer, Department Of Pharmacy

2. Presented By
 Md. Tariq Bin Aziz – ID: 2015000300127

3. Overview…
 Introduction
 Why Franchise?
 Key attributes of a Franchisee
 Types of franchise
 Common Factors
 Summary

5. Introduction
A franchise is an agreement or bargain whereby the owner of a
trademark, brand name or copyright grants others license to use it
in selling goods and services.
Examples of world famous franchises are starbucks, Mc Donalds

6.  A franchise is a license granted by a business to
another business to make and sell goods/services.
 A franchisor is the owner of the business who grants
the license.
 A franchisee is the person who purchases the business
name.

7. Why Franchise?
•Legal and commercial arrangement concerning the
successful business of a franchisor
•Use of franchisor’s trade name, format, system and/or
procedure under license
•Assistance to franchisee
–Marketing, management, advertising, store design,
standards specifications
•Payment by franchisee by way of royalty, licensee fee or
other means

8. Key attributes of a Franchisee
–Is an entrepreneur / Owns the Business
–Invests money, time & emotions into managing operations
–Return on investment a key driver
–Trust

9. Types of franchise
1.Product distribution franchise
2.Business format franchise
3.Management franchise

10. Product distribution franchise
 A product distribution franchise model is very much like a supplier-dealer
relationship.
 Typically, the franchisee merely sells the franchisor’s products. However,
this type of franchise will also include some form of integration of the
business activities.
 Some Examples :

11. Business Format franchise
■ In a business format franchise, the integration of the business is more
complete.
■ The franchisee not only distributes the franchisor’s products and services
under the franchisor’s trademark, but also implements the franchisor’s
format and procedure of conducting the business.

12. Management Franchise
■ A form of service agreement.
■ The franchisee provides the management expertise, format and/or
procedure for conducting the business.

13. Common Factors
Successful Franchises
■ View franchising as a long term partnership
■ Provide comprehensive training
■ Undertake ongoing research & development
■ Franchisors income linked to the success of the franchisees

14. Common Factors
Failed Franchises
■ View franchising as an income stream to prop up a failing business
■ The business is not proven
■ The business has limited longevity
■ After initial training, they leave the franchisee on their own
■ Have little or no financial incentive in the success of their franchisees
■ Do not undertake ongoing research & development

15. IS NOW A GOOD TIME?
■ People being made redundant, have a pay off and its difficult to find new
jobs
■ Businesses have less money to expand using company owned expansion
■ The success rates are higher for both franchisors and franchisees than for
non franchise businesses
■ For Franchising to succeed still need to apply proper / sound business
practices
** 45% of People would prefer to buy from a franchise business
Source: bfa Franchise Awareness Survey 2006

16. Summary
■ A well established industry
■ Create a national or international brand
■ Cost Effectively
■ Quickly
■ A number of elements to developing
■ A ‘successful’ franchise
■ Sources of Help and Advice