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104 Business View Australia - June 2015
solid business networks are required to
service the market effectively. Franchis-
ing makes an important contribution
not just in capital cities but in regional
centres and rural Australia. Strong sys-
tems and compliance and substantial
charitable and community involvement
make the franchise business excel-
lent corporate citizens at federal, state
and local community levels. It is these
attributes that make brands with a
national footprint attractive to inves-
tors who may otherwise not have the
opportunity to work for themselves”.
The core of the franchise concept is
the idea of the brand. This is the face
which is presented to the customer and
it evokes trust, confidence and comfort.
The brand is represented by a symbol
or a logo but ultimately it is intangible
and stands for the consistency, stan-
dardisation and familiarity which rep-
resents the attraction for the customer.
A business format franchised unit has
a complete plan for managing and op-
erating the establishment, furnished by
the franchisor. There is very little scope
for deviation from the prescribed for-
mula and the success of the outlet is
greatly influenced by the franchisee’s
ability to adhere to the rules and the
franchisor’s capacity to implement them.
The reason for the consistent suc-
cess of the franchise model of busi-
ness in Australia is the self-sufficient
and entrepreneurial spirit of its cit-
izens. The government has played
its part and implemented a robust
framework for this sector which en-
sures that both the franchisor and
the franchisee have to perform their
respective roles in a fair manner.
FRANCHISING