Template-Type: ReDIF-Paper 1.0
Author-Name: Hendrikse, G.W.J.
Author-Name-Last: Hendrikse
Author-Name-First: George
Author-Name: Windsperger, J.
Author-Name-Last: Windsperger
Author-Name-First: Josef
Title: Determinants of Contractual Completeness in Franchising
Abstract: The aim of the study is to explain the determinants of contractual completeness in franchise relationships by formulating and testing various propositions derived from transaction cost theory, agency theory, property rights theory, organizational capability theory and relational view of governance. The degree of contractual completeness depends on behavioural uncertainty (negatively), trust (positively), franchisees’ specific investments (negatively), environmental uncer-tainty (negatively), intangibility of system specific know-how (negatively) and contract design capabilities (positively). The hypotheses are tested with a data base consisting of 52 franchise systems in Austria. The empirical results support the hypotheses regarding behavioural uncertainty, trust and intangible system-specific know-how.
Creation-Date: 2010-04-26
File-URL: https://repub.eur.nl/pub/19424/ERS-2010-017-ORG.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2010-017-ORG
Classification-JEL: L26, M, M13, O32
Keywords: contractual completeness, franchising
Handle: RePEc:ems:eureri:19424