Journal of Small Business and Entrepreneurship Development
December 2014, Vol. 2, No. 3 & 4, pp. 01-12
ISSN: 2333-6374 (Print), 2333-6382 (Online)
Copyright © The Author(s). 2014. All Rights Reserved.
Published by American Research Institute for Policy Development
DOI: 10.15640/jsbed.v2n3-4a1
URL: http://dx.doi.org/10.15640/jsbed.v2n3-4a1
Factors that Influence Women When Purchasing a Business Format Franchise
Repack, William
1
, Repack, Diana
1
& Lin, Jasmin Chia-Jung
1
Abstract
About 50 % of women in United States are involved in business, while only
approximately 18 % of them are involved in business-format franchise. This study
was designed to seek reasons for this rather low rate of participation. Franchisors
must better understand what factors women perceived important in order for them
to purchase a business-format franchise. The primary objective of this study was to
determine the factors perceived important by women that influence them to make
purchase decision by utilizing a survey questionnaire. 110 out of 340 female
franchisees responded our survey. The results suggest that prospective women
franchisees, before they purchase a franchise, must believe the franchise of their
choice is secure and will be successful. They must be assured that they will be well-
trained and emotionally supported, in a low risk environment, without gender bias.
We hope franchisors will find this information useful as they improve on ways to
influence women to purchase their franchise opportunity.
Keywords: Franchising, Female Business Owners, Purchasing Decisions
Introduction
Interest in the area of franchising continues to increase; currently, some 50%
of all retail businesses in the United States are franchises, and this number continues
to grow (LBC Franchising Corporation, 2013). In addition, the International
Franchising Association reports that “…franchising is responsible for 760,000
businesses, 18 million jobs, 14 percent of the private sector employment, and over
$500 billion in payroll,” and franchise sales are expected to top two trillion dollars by
the end of 2011 (LBC Franchising Corporation, 2013). With many businesses such as
restaurants, fast foods and beverage chains, hotels, etc.
1
Robert Morris University