This document discusses a research proposal to analyze the impact of franchising on educational institutions in Pakistan. The research will compare the efficiency and effectiveness of owned colleges versus franchised colleges. It will investigate the reasons franchisors grant franchises, how franchisors manage franchisees, and the impact on student quality education. Literature suggests franchising can benefit business but may lower education standards. The research will use qualitative methods like interviews with franchisors and franchisees from Punjab Group of Colleges.

1. FRANCHIZING OF COLLEGES AND ITS IMPACT ON EDUCATIONAL
INSTITUTIONS.
SUBMITTED TO: Dr. ZAHID RIAZ
Dr. ASIF KHAN
ANS GHOURI
L1F12MSMG0043
MS (MANAGEMENT SCIENCES)
UCP BUSINESS SCHOOL
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2. TABLE OF CONTENT
INTRODUCTION 03
LITERATURE REVIEW 03
RESEARCH QUESTION 04
RESEARCH AGENDA 04
RESEARCH OBJECTVES 05
RESEARCH METHODOLOGY 05
POPULATION 05
SAMPLE AND SAMPLING TECHNIQUE 05
TIME SCALE 06
REFERENCES 06
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3. FRANCHIZING OF COLLEGES AND ITS IMPACT ON EDUCATIONAL
INSTITUTIONS.
INTRODUCTION
Franchising system continues its unstoppable advance in the whole world as in
the developed and developing countries. Therefore, it is not surprising that it is a
topic that centers the attention of research on the area of business now a day.
Usually franchising system is a dual system constituted by own and franchisee
units. The objective of this study is to compare the efficiency of own units
opposite to the franchisee units. This field of research has not been very
developed and scantily treated on the scientific international research. This study
reveal an analysis of the efficiency and effectiveness of franchisee college in
Pakistan, shows how private management is overlapping, revealing the
implication for future opportunities to "franchise" an educational model.
KEY WORDS: Franchising, Franchisor, Franchisee, Efficiency, Effectiveness,
Dual system.
LITERATURE REVIEW
Franchising is arrangement where one party (the franchiser) grants another party
(the franchisee) the right to use its trade-mark or trade-name as well as certain
business systems and processes to produce and market a good or service to
certain specification.
Franchising has been on up now a day’s especially in educational system. Much
more has been said about the positive aspects of franchising in literature but
there is a little about the negative impacts of franchising in service sector.
According to Richard L. Priem (2005), The errand of franchising gives rise to
several flaws and short comings which lead to inefficiency in business enterprise.
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4. The onrush trend of franchising is undoubtedly lucrative for business
entrepreneur but it is lowering the standard of education. Curry et, al (2002).
Franchisor are more interested in giving services in the field of education and in
making money but franchisee tends towards earning money.
Franchising provides an increasingly important vehicle for entrepreneurial wealth
creation and accounts for large and growing share of business in the service
sector (Sorenson-Strategic Management Journal 2001). Franchising help us to
enhance and expand our business as well as entrepreneurial skills.
Franchising is already an important component of global strategy in many service
sectors (Sk kundu-Journal of international Marketing 1998). Global strategy is
also using franchising systems to increase their efficiency and effectiveness all
over the world.
Franchising results negative, when have impact of agency theory. (Rajiv P. Dant,
2008). Agency theory has impact on franchised units in which principal and agents
have conflict of interest. Agency theory is the branch of financial economics that
looks at conflicts of interest between people with different interests in the same
assets.
RESEARCH QUESTION
Franchising has negative impact on efficiency and effectiveness of
franchised units in educational Institutions.
RESEARCH AGENDA
Franchising System in Colleges: A Comparative analysis of efficiency and
effectiveness of own units vs. franchised units.
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5. RESEARCH OBJECTVES
• What are the main reasons for giving contracts to franchisee by colleges?
(Franchiser)
• How the charter of franchisor does managed by franchisee.
• What is the impact of franchised units on students regarding quality
education
RESEARCH METHODOLOGY
My research is of exploratory nature so I am using qualitative methodology of
research.
POPULATION
Population will be Punjab Group of Colleges (fastest growing private institution in
Asia).
SAMPLE AND SAMPLING TECHNIQUE
• Snow Ball sampling technique will be used.
• Sample size is not yet decided because it is too early to ask about it.
• 30 – 40 minutes interviews from franchisor as well as franchised units.
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6. TIME SCALE
February, March and April 2013: Literature review.
May 2013: Draft Literature review.
June - July 2013: Summer (vacations) no work.
August 2013: work on research strategy with supervisor.
September 2013: Application of Research strategy.
October 2013: Collection of Primary data.
November and December 2013: Analysis of data.
January 2014: Results.
REFERENCES
• Sorenson, “Strategic Management Journal”, (2001)
• SK kundu, “Journal of international Marketing” (1998)
• Richard L. Priem, “Franchising in Brazil and America”, (2005)
• Curry et al. [7], “Trend of franchising for business entrepreneur”, (2002)
• Rajiv P. Dant, “Co integration Analysis of the Correlates of Performance in
Franchised Channels”, (2008)
• Sorenson, “Strategic Management Journal”, (2001)
• Dirk van Damme, “Quality Issues in the Internationalization of Higher
Education”, (2001)
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