Salma FinalReport
Salma FinalReport
1. INTRODUCTION
The food and beverage (F&B) industry in India, much like in retail where small retailers or
kirana shops—rather than organized retail— dominate the market, is twisted in favour of the
individual restaurant. The overseas fast food brands such as Dominos, McDonald’s, Pizza Hut
and Subway have now been in India for a while and Indian ones such as Mast Kalandar and
Nirulas are beginning to make their presence felt. Ice-cream chains such as Baskin Robbins
have also made their appearance.
As with restaurants, the beverage-only outlets have only begun to scratch the surface of the
opportunity that presents itself in the Indian market. The rise of speciality outlets such as
Jamba Juice in the US or sugarcane juice chain Canola in India points to a still wide open
field that presents a potential opportunity as big or even bigger than the coffee chains, with
their positioning of being healthy alternatives.
The aim of the study is to understand the importance of the franchising and the types of
process involved in franchising with respect to the food and beverages industry.
PROBLEM STATEMENT
To meet more customer requirements, one of the most promising ways to build a successful
business in this space is through franchising. Franchising is still at a nascent stage in India,
despite its widespread adoption in the developed economies. According to the Franchising
Association of India, franchises account for less than 3% of the retail revenues in India,
compared with 35% of retail and service revenues in the United States.
There are more businesses already in the food and beverages industry that has got a good
name from the environment. Ultimately when that business is being franchised, good
revenue can be earned out of it.
The scope of this project is that when we talk about helping F&B companies obtain
franchising, people often wanted to know why their company needs to create a franchise or
take a franchise. There are all kinds of Food & Beverages franchises - including restaurant
franchise, cafetaria, pizza franchise, ice-cream franchise, fine-dine restaurant, veg-food
restaurant, non-veg food restaurant, quick food cafe, food outlet, juice lounge, sweets store,
fast food parlour, international food chain etc.
Primary Objective
The primary objective of the study is to analyze the franchising with respect to the food and
beverages industry.
Secondary Objectives
The secondary objectives are based on the below.
As a prospective franchisee, before you start looking at specific opportunities and investigate
their advantages and disadvantages, you should familiarise yourself with the various
franchise models you may come across. These can be broken down by:
industry sector
the franchise development model used by a specific franchisor
the nature and extent of the franchisee’s expected involvement in the business.
Understanding these concepts fully will help you make the decision that will serve your
personal aims and aspirations best.
Industry sectors
The days when franchising was the domain of fast food operators are gone for good. Although
food franchises continue to play a major role, many other industry sectors have recognised
the advantages of franchising their businesses. To give specific figures is difficult, simply
because industry sectors tend to overlap. For example, depending on the methodology used,
restaurants could be classified as one segment, or broken down into fast food and sit-down
establishments, coffee shops, snack bars and so on. One could even take one step further
and break sit-down establishments down into steak houses, pub concepts and ethnic
restaurants. The permutations are virtually endless, suggesting that you have a wide range of
opportunities to choose from.
Important note: Reports received from the US suggest that up to 80 different industry sectors
are currently expanding through franchising, with new sectors coming on board all the time. In
South Africa, franchisors are currently classified under 14 main headings ranging from
automotive products and services to retailing and direct marketing concepts. For the latest
information on this topic, turn to the whichfranchise opportunities section.
The development model
This is the franchise model the franchisor selects for the expansion of the network. During the
early years when franchising became established, every franchise was granted as a unit
franchise. Even today, this model remains the most popular by far. However, other models
have been developed and you should be aware of them. You should also know that some
franchisors take a mixed approach to expansion. They establish company-owned units in
close proximity to head office, enter into joint ventures where units are a certain distance
away and set up franchises in more remote locations. This is how this works:
Company-owned unit
Before there can be a franchise, the aspiring franchisor must test the concept in the market.
This is the only way to test market acceptance and iron out all possible glitches, be they in the
realm of product development, branding, processing, distribution or installation.
Most franchisors retain at least one unit indefinitely, for several reasons:
Joint venture
A franchisor may enter into joint venture agreements with prospective franchisees. The
business is set up at arm’s length, with the franchisor retaining a stake. This model can be
attractive for several reasons:
An individual who displays potential to operate the business successfully but cannot
raise sufficient funds to acquire a franchise outright can do so over time.
A company or CC is set up and awarded the franchise.
The individual obtains a small stake in the business at the outset, with the balance
held by the franchisor, or a third party investor.
The individual manages the business and receives a modest salary.
The same individual is entitled to acquire additional shares in the business over time.
This is often funded from retained profits.
The franchisor can expand into a new area with the help of an individual who is
determined to make the best of the opportunity.
This model is ideally suited to BEE initiatives, for example by offering deserving
employees an opportunity to acquire a stake in a business immediately and own it outright
over time.
Unit Franchise
As previously stated, this is the classic franchise format. The franchisee makes an investment
into one unit and this is the full extent of the initial agreement. At a later stage, a unit
franchisee may be offered an opportunity to invest into additional units, thereby becoming a
multi-unit franchisee. This is, however, at the franchisor’s discretion, usually subject to
performance criteria.
Conversion Franchise
A conversion franchise is a unit franchise. The only difference is that instead of recruiting a
franchisee and setting him or her up in a newly established business, the franchisor recruits
an established operator into the network. Following a complete makeover, the business
operates as a franchise, trading under the network’s brand and using its systems and
procedures.
If the business is highly site-dependent, as is the case in most retail operations, the
franchisor gains access to a prime site with an established customer base.
The franchisee gains access to the network’s superior marketing and bulk purchasing
power.
Fractional Franchise
This, too, is a standard unit franchise except that the franchisee occupies premises within an
established business. This method of expansion is best suited to concepts that stand to
benefit from available synergies.
To illustrate, let us assume that a car wash facility and a convenience store occupy part of the
forecourt of a petrol station. Ideally, the three businesses will retain their distinctive corporate
identities and will operate as independent business units. However, they share the same
customer base with the garage and stand to benefit from customers crossing from one to the
other for add-ons. Moreover, these businesses’ management, marketing activities and
administration can be partially or fully shared.
Area Developer
The area developer acquires the right to develop the brand within a defined geographical
area. Most often, this takes the form of the developer setting up a predetermined number of
branches in the area and operating them for its own account.
A regional master franchisee acquires the rights over a defined area from the franchisor and
rolls out the franchise through a mix of company-owned stores and sub-franchisees. As far as
sub-franchisees are concerned, the master franchisee assumes many of the rights and
obligations of the franchisor.
Master Franchisee
In most instances, a master franchisee contracts with a foreign franchisor to act as the local
franchisor in the target country, or a defined area within the target country. The master
franchisee usually assumes all rights and obligations of a franchisor. This means that the
master franchisee is responsible for testing of the local market, franchisee recruitment and
training, initial and ongoing franchisee support and quality control.
Types of franchises
The franchise type identifies the nature of the work that the running of the franchise entails.
There are five categories:
Retail franchise
In a retail franchise, the franchisee will generally occupy retail premises and sell products or
services. The business depends totally on the location of the premises, with sales coming
from walk-in consumers. In this situation, the franchisee will:
Management Franchise
In a management franchise, the franchisee is expected to market and manage the business
while trained staff carries out the actual business activity.
A good example of such a business is a plumbing repair franchise. Orders are obtained via
the telephone and trained repair teams carry out the work at customers’ premises. Many
business-to-business activities are handled in a similar manner, except for the fact that a
travelling sales force will be employed. In this situation, the franchisee will:
In this franchise format, the franchisee carries out the work him/herself. This usually involves
the carrying out of a trade, or the selling and supply of products or services. It may be a
mobile set-up and could be home-based or operated from small office premises.
Need to acquire the expertise required to sell and install a product or perform a service.
Work on his/her own, at least initially. As the business grows, it may become necessary
to employ staff and the franchise could develop into a management franchise.
Market the franchise locally to generate a steady flow of business.
Deal with the public as well as with businesses.
Conduct much of the business via the telephone.
Be mobile, perhaps van-based and undertake administrative chores from home. On
occasion, small industrial premises may be necessary.
On occasion, such franchisees may be required to wear a uniform that reflects the
network’s corporate identity.
Have flexible business hours.
Important note: Although this business format exists in South Africa, it generally lends itself
better to a distributorship. The reason for this is that a fully-fledged business format franchise
may be too expensive to operate. There is a notable exception, though: small fast food
franchises, for example hot dog stands, often depend on their success on the franchise
format for brand recognition and quality assurance. A good example is the Hot Dog Cafe,
which is a successful franchise chain.
In this franchise format, the franchisee carries out the work him/herself. This usually involves
the carrying out of a professional service or the selling and supply of products that require
professional input and/or user-support and troubleshooting. The business could be home-
based or operated from small office premises. The type of work is executive, examples are
bookkeeping services, tax advice, business consulting, training or the supply of
comprehensive office solutions for small businesses.
Need to learn to perform the service, for example to write up the client’s books, usually
at the client’s premises.
Work on his/her own, at least initially. As the business grows, it may become necessary
to employ staff and the franchise could develop into a management franchise.
Market the franchise locally to generate a steady flow of business.
Deal mainly with businesses, but sometimes with the public as well.
Conduct much of the business via the telephone and through electronic communication
facilities.
Work from home or have small office premises but essentially be mobile.
Work regular office hours, at least most of the time. Important note: At this level,
franchises have the potential to become extremely successful. There are two good reasons
for this:
On the input level, networks find it easier to develop proprietary materials, for example
computer software, and set up intranets, essential in today’s business climate but generally
out of the reach of individual operators.
On the output level, the target customer base, usually SMEs, is attracted by a
network’s branding activities, which imply a strong component of quality assurance and
fidelity. They are also reluctant to deal with large professional firms, considering them too
expensive for their needs. Rather, they prefer to deal with franchisees, small businesses
themselves.
Investment Franchise
This term means that a wealthy investor, often a corporate entity, makes a substantial
investment in a franchise without having any intention of working in the business.
Management of the franchise will be delegated to an executive team that is responsible for
day-to-day operations. This format is used, for example, in the hotel business. It is not very
popular with franchisors of smaller concepts. The reason for this is that the physical presence
of the owner “behind the counter” is what customers want. Experience has also shown that
the owner’s presence makes the business successful.
CHAPTER - II
2. LITERATURE REVIEW
The chocolate room india pvt. ltd. started operating since october 2007. it is an australian
concept. and we the chocolate room india pvt. ltd. are entitled to give away franchisees
across india. the response to the chocolate room cafe concept has been overwhelming – our
customers love the total experience – the drinks – we serve beautiful coffee too! – the food –
the atmosphere – we extol the health virtues of chocolate – in moderation of course! they and
their brilliant team of professionals provide all the assistance you would imagine that comes
with a professional franchise – site selection, fit out, staff selection, training and on going
support. the history of chocolate cocoa, the main ingredient of chocolate is said to have
originated in the amazon basin at least 4000 years age. christopher columbus in 1502 was
the first european to discover the beans, however it was not until two decades later that
hernan cortes found moctezuma, the aztec emperor feasting on a cup of xocoati. the liquid
was so precious that it was served in gold goblets and used as a form of currency. cortes
returned to spain in 1528 and realising the beans potential seeded "money crops" on the west
african islands of fernando po, bioko, trinidad and haiti. on his return to spain he presented
the beans to king charles v. it is from these islands that the huge cacao trade developed.
Vision to be the most loved and respected chocolate company in the world. Mission the
chocolate room is committed to building a unified family, consistently serving the highest
quality hot chocolate & coffee and providing outstanding personalised service in a vibrant
store atmosphere. values at the chocolate room, our values are simple: we demonstrate a
commitment to excellence and innovation in everything we do our partnerships are based on
integrity and trust we believe in people, building and changing lives we foster a culture of joy
and passion throughout our company.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/14)
Gelato is the generic word for Ice Cream in Italian. Though made from the same ingredients
as Ice Cream viz., milk, cream, sugar and stabilizer, gelato and ice Cream are distinctively
different. Gelato is made from natural ingredients with no synthetic flavors or essences.
Gelato is a nutritious food as it contains protein, calcium, carbohydrates, minerals, vitamin A,
and almost all the B group vitamins. . Gelato has a lower fat content of approx. 4 per cent as
compared to natural Italian ice cream which is higher at 10 percent or more. Gelato has only
35 per cent over run which means it has more product and less air content thus yielding a
denser, more compact silky consistency as compared to industrial ice cream which has an 80
-100 per cent over run. It is sold by weight and not by volume. It is freshly-made daily to
ensure that it is always fresh unlike industrial ice cream, which is manufactured and stored
indefinitely. It is handmade and therefore it is an artisan high end gourmet product. It is served
with a spatula at a higher temperature which does not sting the mouth. Gelato is 100%
vegetarian WHY GELATO? Gelato has redefined the ice cream eating culture world wide.
Because it is a natural, fresher and a more nutritious, low fat version of industrial ice cream,
people are substituting it and indulging in it instead of Ice Cream Gelato generically has a
universal audience- it is consumed by a small child who could be a year old or even an adult
that is 90 yrs of age. It is loved by all from all walks of life! Moreover, it is a healthier option to
ice cream and nowadays nearly everybody is health conscious! Gelato is now an international
trend- it is the second most important after espresso and cappuccino. There are several
gelato shops across the USA, successful gelato franchise chains in Australia, the Far and
Middle-East, most of Western and Eastern Europe. The gelato culture is spreading very
quickly around the globe and in India it is a brand new concept in an untouched, virgin
market.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/17)
We LC Systems began in November 2010 with the dream of building a food chain based on
three facets: an extraordinary flavor; wholesome, superior quality products and prompt
service. We offered our first franchise in November 2011 exactly 1 year after our
establishment. During this one year, we did rigorous and extensive research on the ground
level realities of the food chain market. We are proud to announce that LC Systems Pvt. Ltd.
is one of the nations’ youngest leading fast food chain and brings excellent combination of
products & excels in providing an impressive variety of Fried Chicken, Burgers and Salads,
which are consistently delicious. The brand quickly gained notoriety with its uniquely
distinctive style and extensive menu. We use high-quality raw ingredients, classic cooking
methods and distinctive interior design--features that are more frequently found in the world of
fine dining. We elevate basic raw ingredients into food that's richer and more sophisticated
through our recipes and cooking techniques. Over the period of time, LC’s extensive menu
has kept on adding new varieties. Each new idea has been extensively tested to make sure it
aligns with the standard concepts and meets our high standards for quality and taste. The
entire LC TEAM is committed to ensuring that our guests always get the best-tasting, highest-
quality products possible, served quickly by friendly people in a clean and pleasant
environment. If customer research and sales are any indication, our continued success
proves that people appreciate the LC’s unique way. Owing to its heritage of bringing families
and friends together through its delicious, hot and crispy burgers and pops and other popular
products, LC Systems captures this core benefit in a campaign that best summarizes, what
the company has stood for over these few years. Defined Products and Services At LC,
customers experience addictive exciting menu. While we emphasize offering quality products
to our customers at affordable prices, we are also innovative in our introduction of new
products, with number of items on our menu list, and regularly rotated to maintain variety of
choices. Our extensive menu makes it a completely new experience in deliciousness each
time you use our services! All food is served and prepared in a professional manner with
proper equipment, and by a very experienced staff. LC is inspired by the flavors across the
globe hence offering variety of freshly cooked authentic dishes in a vibrant contemporary
setting. Taking pasta from Italian cuisine, rice meals from the state of Bengal, India, the
demographic zone of our menu is vast. LC caters delicious food for all age groups in a
modern ambience targeting kids with specials Veg/Non-Veg pops and elders with fried yummy
chicken. Also the taste buds of health conscious people are treated with mouth watering
yummy salads both Veg and Non- veg. LC is a place for bright people who love to laugh and
love to eat, and is guaranteed to spice up your taste buds. Our fun approach to life means
that when you visit LC, you can fully relax without the airs and graces associated with more
starchy dining out. The menu range includes Burgers of all types Veg/non-veg for burger
lovers, Veg and Non-Veg pop perfect for hot and yummy snacks, chicken wings to rejuvenate
the taste buds, Italian food lovers can relish pasta in both Veg and Non-Veg flavors, rice
lovers can dig into delightful rice and gravy, family meal for big happy Indian family and
combos to make your visit pleasant pocket friendly.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/31)
Operating from its main office located in Milford, Connecticut, the quick service restaurant
chain has five regional centers to support its expanding international operations. The Asian
centre has been growing at a rapid pace and India as a country occupies a pivotal spot on
this expansion map. Subway Systems India Pvt Ltd opened its very first restaurant in 2001 in
New Delhi and has swiftly grown its operations to 330 operating restaurants in 65 cities
across India. Although it is a global brand with a menu that is relatively the same around the
world, SUBWAY® restaurant's takes great pride in honoring and respecting local traditions
and food preferences and has earned a reputation for offering a healthier alternative to
traditionally fatty and greasy fast food. SUBWAY® restaurant's in India serve no beef or pork
products and have an expanded selection of vegetarian choices. Popular sandwiches, both
local and international favorites, include Veggie Patty, Paneer Tikka, Aloo Patty, Chicken
Meatball Marinara, Roasted Chicken, Chicken Teriyaki, Turkey, and Tuna.
Cafe Desire® started its journey with a vision of being an integral part of your daily lives and
success. Today, we are proud to announce that Cafe Desire® is touching thousands of lives
daily with its innovative hot beverage solutions. Our experience in understanding diversified
taste and customer preference helps us to deliver the best in class products and services.
Cafe Desire® perpetuates to offer high quality products and experiential customer service to
deliver high standard positive experience to customers. Cafe Desire® offers a wide range of
100% natural hot beverages, processed in HACCP certified manufacturing plant and
dispensed through state-of–the-art multi optional vending machines. Cafe Desire® is a brand
of Radiant Consumer Appliances Pvt Ltd., an ISO 9001:2000 and HACCP certified premier
food beverages manufacturing and marketing company based in Hyderabad, India. Cafe
Desire® helps you to accomplish the dream of owning your own business. We offer you an
opportunity to take control of your career, finances, schedule and future through our proven,
successful and profitable franchise model. Joining hands with us will give you complete
ownership and rewards of being a successful entrepreneur.
Interested in starting your own business in food & beverage industry? Connect with Juice
Lounge – a unique health and juice bar concept providing 100% natural Juices and Boosters
with a mission to: Provide customers of all ages to a convenient, nutritious and flavoursome
alternative to fast-food. Provide food that is suited to the customer’s active lifestyles Why
Juice Lounge? The only Juice bar to be present in 2 countries and over 25 cities in India Juice
Lounge is the Biggest Brand name today! 100+ Juice Bars are joining the League! It’s a low
investment startup, but sales turnovers are huge. Business Models available: Juice Lounge
selling Juices (Kiosk Model or OTC Model) Juice Lounge selling Juices and Low Calorie
Sandwiches (Kiosk or OTC Model) Juice Lounge selling Juices, Low Cal Sandwiches & Pasta
(OTC) or Juice Lounge selling Juices, Sandwiches, Salads, Pizzas and Pasta (Lounge Model)
Desired Franchisee Profile: Person who is passionate about helping others live a healthy
lifestyle, and managing a growing business opportunity at the same time Individual who take
a hands-on approach to managing their business and also stay involved in their local
community Franchisee Benefits: Onsite Training will be given to franchisee As a Juice Lounge
franchisee, you can get a complete access to the support network of the company Good
return on investment Assistance in setting up of franchise i.e. from start and then on everyday
operation Juice Bars have already become a craze in India; this is the right opportunity for
you to sensibly invest your money in something that will give you amazing returns from day
one. Contact us to get your own "Juice Lounge" franchisee today! The company is opening
new outlets every month.
Operating from its main office located in Milford, Connecticut, the quick service restaurant
chain has five regional centers to support its expanding international operations. The Asian
centre has been growing at a rapid pace and India as a country occupies a pivotal spot on
this expansion map. Subway Systems India Pvt Ltd opened its very first restaurant in 2001 in
New Delhi and has swiftly grown its operations to 330 operating restaurants in 65 cities
across India. Although it is a global brand with a menu that is relatively the same around the
world, SUBWAY® restaurant's takes great pride in honoring and respecting local traditions
and food preferences and has earned a reputation for offering a healthier alternative to
traditionally fatty and greasy fast food. SUBWAY® restaurant's in India serve no beef or pork
products and have an expanded selection of vegetarian choices. Popular sandwiches, both
local and international favorites, include Veggie Patty, Paneer Tikka, Aloo Patty, Chicken
Meatball Marinara, Roasted Chicken, Chicken Teriyaki, Turkey, and Tuna.
Chawla Global is one of the biggest food chain Company in India. Chawla Global has been in
this business for past 45 years (established since 1960) and has served Millions of food
lovers in these who can couch for its Authenticity and great taste. Chawla Global has approx
85 Franchise outlets in India. Company has well repudiated name in North Indian Food,
Biryanis, Sizlers and Kebabs. Company has 6 company owned outlets. Turn over of
company’s owned outlets is aprox 18 Million INR. Company has a big pool of trained Chefs
and it runs Training and development exercise for its chefs on regular intervals to ensure the
quality of the products is retained in all its outlets. And the company has 2 training centers
one in Delhi and other one in Ludhiana. Company spends aprox 4 Million INR per year to train
the cooks. Company is looking for opening outlets in U.S.A, U.K, Australia, Singapore, and
Middle East. Company has created strong and proven business system in past several years.
And the associates right from day one shall use proven system. Company always saves the
franchisee from going through all the teething problems one has to face while starting a new
set up. Company has developed its own range of spices, which is used in all its outlets. This
also ensures uniformity in the flavors and products. And above all Company always insure
that franchisee should get a low breakeven and high profit model outlet.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/60)
Pind Balluchi is an entity functional under the umbrella of JS Hospitality, a group that holds
popular fine dining restaurant Park Balluchi and banquet hall Vatika Grand. Pind Balluchi is a
quintessential Punjabi restaurant with Rajasthani sitting arrangement. Pind Balluchi is one of
the fastest growing chain of restaurants operating in Delhi, NCR, Chandigarh, Punjab and
now coming to Mumbai, Pune, Bangalore, Chennai and Jaipur. Pind Balluchi is currently
operated from seven locations, namely, Gurgaon - 2 Outlets Rajouri Garden Rohini Faridabad
Noida Karol Bagh Moreover, we intend to expand our culinary presence outside the NCR
region in the near future.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/61)
Dosa Plaza is the sole runner in the category of south Indian cuisines that has gained
popularity nationwide for its innovative approach and wide varieties of recipes. From a humble
inception, Dosa Plaza grew into a lavish success story that it has become today. It has sailed
different waves and seen different tides before achieving its current position - India's fastest
growing food chain of south Indian cuisine. The company sees the current success as mere
milestone in its never-ending journey of growth and improvement. Our Vision To become the
leading brand serving traditional south Indian cuisine worldwide with an oriental and western
taste, delivering quality food, efficient service and value for money. Our Mission To delight
every guest visiting our restaurant by serving traditional homely food with a fresh creative
approach in a clean, fun and friendly environment. Our USP is our 104 exotic varieties of
fusion dosas with 27 being trademark dosas.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/79)
The idea of Kathi Junction was conceived by the founders as a brand of Indian quick service
restaurants. Two-income families and larger disposable incomes in India have generated
demand for different types of food sesrvices, and quick service format addresses an important
need of customers. The opportunity for an Indian fast food brand is huge and Kaati Junction
plans to play a significant role in this space. Kathi Junction is expanding its operations
currently in the North India . We have restaurants in some of the high footfall areas and
outlets in working communities like corporate campuses & leading education institutions.
Check out our existing and soon-to-be-launched locations. We have a large base of retail and
corporate clients and have a high repeat business. Any time, day or night, people come to
The Kathi Junction to get their hands on a Kathi Roll. Why? Because with warm blends of
cheese, chicken or mutton marinated in rich Indian spices, Kathi Rolls are really good food.
Plain and simple.
(Ref: http://franchisebiz.co.in/index.php?r=index/detail/id/82)
CHAPTER - III
3. RESEARCH METHODOLOGY
Research methodology is the systematic way to solve the research problem. It gives an idea
about various steps adopted by the researcher in a systematic manner with an objective to
determine various manners.
Research Design
A research design is considered as the framework or plan for a study that guides as well as
helps the data collection and analysis of data. The research design may be exploratory,
descriptive and experimental for the present study. A Descriptive & Exploratory research
design will be adopted for this project.
Research Approach
The questionnaire is prepared on the basis of objectives of the study. Direct contact is used
for survey, contacting customers directly in order to collect data.
Sample size
A total of 100+ respondents shall be used for this study.
Sampling Design
Collection of Data
Most of the data collected by the researcher is primary data through personal interview, where
the researcher and the respondent operate face – to – face.
The Study is restricted to customers and the employees of the franchising in the
FNB industry.
TABLE 4.1.1
35.00%
30.00%
30.00% 27.00%
25.00%
21.00%
20.00%
15.00%
11.00% 11.00%
10.00%
5.00%
0.00%
Below 20 Yrs 21 Yrs – 30 31 Yrs – 40 41 Yrs – 50 51 Yrs and
Yrs Yrs Yrs Above
Interpretation:
From the above table and chart, it is interpreted that 30.00% of the respondents are between
21 Yrs – 30 Yrs, 27.00% of the respondents are 51 Yrs and Above and 21.00% of the
respondents are between 31 Yrs – 40 Yrs.
TABLE 4.1.2
1 Professional 30 30.00%
2 Administrative 20 20.00%
3 Managerial 11 11.00%
CHART 4.1.2
35.00%
30.00%
30.00%
25.00%
20.00% 20.00%
20.00%
15.00%
11.00% 10.00%
9.00%
10.00%
5.00%
0.00%
Professional Administrative Managerial Business /Trader Clerical, Any other
Supervisory and
related worker
Interpretation:
From the above table and chart, it is interpreted that 30.00% of the respondents are
professionals, 20.00% of the respondents are in administrative and into business and 11.00%
of the respondents are into managerial positions.
TABLE 4.1.3
5 Others 3 3.00%
CHART 4.1.3
40.00%
35.00%
35.00%
30.00%
30.00%
25.00%
25.00%
20.00%
15.00%
10.00% 7.00%
5.00% 3.00%
0.00%
Diploma Holder Engineering Under Post Others
Graduate Graduation Graduation
Interpretation:
From the above table and chart, it is interpreted that 35.00% of the respondents are
engineering graduates, 30.00% of the respondents are under graduates and 25.00% of the
respondents are post graduates.
TABLE 4.1.4
2 International 33 33.00%
Franchise/License
3 Buy/Sell Existing 8 8.00%
Business
4 Buy/Sell Existing 27 27.00%
properties
Total 100 100.00%
CHART 4.1.4
35.00% 32.00% 33.00%
30.00% 27.00%
25.00%
20.00%
15.00%
10.00% 8.00%
5.00%
0.00%
Premium International Buy/Sell Existing Buy/Sell Existing
Franchises Franchise/License Business properties
Interpretation:
From the above table and chart, it is interpreted that 33.00% of the respondents are
interested in International Franchise/License, 32.00% of the respondents are interested in
Premium Franchises and 27.00% of the respondents are interested in buying or selling
properties
TABLE 4.1.5
2 International 33 33.00%
Franchise/License
3 Buy/Sell Existing 11 11.00%
Business
4 Buy/Sell Existing 27 27.00%
properties
Total 100 100.00%
CHART 4.1.5
35.00% 33.00%
29.00%
30.00% 27.00%
25.00%
20.00%
15.00%
11.00%
10.00%
5.00%
0.00%
Premium International Buy/Sell Existing Buy/Sell Existing
Franchises Franchise/License Business properties
Interpretation:
From the above table and chart, it is interpreted 33.00% of the respondents are attracted by
International Franchises/License, 29.00% of the respondents are attracted by premium
franchises and 27.00% of the respondents are attracted by buying or selling of propoerties.
TABLE 4.1.6
Respondents Classification based on the security that is given to online customers who avail
the services of the organization online
3 Verified by 34 34.00%
Visa/MasterCard
Secure Code
4 Others 12 12.00%
40.00%
34.00%
35.00%
30.00% 28.00%
26.00%
25.00%
20.00%
15.00% 12.00%
10.00%
5.00%
0.00%
IVR 3D Secure Net Safe Verified by Others
Visa/MasterCard
Secure Code
Interpretation:
From the above table and chart, it is interpreted 34.00% of the respondents are given Verified
by Visa/MasterCard Secure Code, 28.00% of the respondents are given net safe and 26.00%
of the respondents are given IVR 3D Secure.
TABLE 4.1.7
Respondents Classification based on the security that is highly needed by online customers
3 Verified by 14 14.00%
Visa/MasterCard
Secure Code
4 Others 8 8.00%
CHART 4.1.7
70.00% 66.00%
60.00%
50.00%
40.00%
30.00%
20.00% 14.00%
12.00%
8.00%
10.00%
0.00%
IVR 3D Secure Net Safe Verified by Others
Visa/MasterCard
Secure Code
Interpretation:
From the above table and chart, it is interpreted 66.00% of the respondents are needing net
safe, 14.00% of the respondents are needing Verified by Visa/MasterCard Secure Code and
12.00% of the respondents are needing IVR 3D Secure.
TABLE 4.1.8
1 Yes 65 65.00%
2 No 35 35.00%
CHART 4.1.8
70.00% 65.00%
60.00%
50.00%
40.00% 35.00%
30.00%
20.00%
10.00%
0.00%
Yes No
Interpretation:
From the above table and chart, 65.00% of the respondents interprets that the top business
opportunities are made available by the franchise organization.
TABLE 4.1.9
1 Yes 83 83.00%
2 No 17 17.00%
CHART 4.1.9
90.00% 83.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00% 17.00%
10.00%
0.00%
Yes No
Interpretation:
From the above table and chart, it is interpreted by 83.00% of the respondents that they are
able to find the franchise that is needed by them.
TABLE 4.1.10
1 Yes 88 88.00%
2 No 12 12.00%
CHART 4.1.10
100.00%
88.00%
90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00% 12.00%
10.00%
0.00%
Yes No
Interpretation:
From the above table and chart, it is interpreted by 88.00% of the respondents that the
featured franchise companies details are published by the organization.
TABLE 4.1.11
Respondents Classification based on the belief in the marketing products of the FNB Industry
1 Dominos 3 3.00%
5 McRennet 2 2.00%
CHART 4.1.11
50.00% 46.00%
45.00%
40.00%
34.00%
35.00%
30.00%
25.00%
20.00%
15.00%
15.00%
10.00%
5.00% 3.00% 2.00%
0.00%
Dominos Puffs 'n' Rolls Masala Dosa Plaza McRennet
Country
Interpretation:
From the above table and chart, it is interpreted by 46.00% of the respondents that Dosa
Plaza is listed, 34.00% of respondents that Puffs n Rolls is listed and 15.00% of the
respondents that Masala country is listed as a part of the FnB industry.
TABLE 4.1.12
Respondents Classification based on the security of the FnB franchising with the organization
1 Agree 46 46.00%
3 Indifferent 15 15.00%
4 Disagree 3 3.00%
CHART 4.1.12
50.00% 46.00%
45.00%
40.00%
34.00%
35.00%
30.00%
25.00%
20.00%
15.00%
15.00%
10.00%
5.00% 3.00% 2.00%
0.00%
Agree Strongly Agree Indifferent Disagree Strongly
Disagree
Interpretation:
From the above table and chart, it is interpreted that 46.00% of the respondents agree,
34.00% of the respondents strongly agree and 15.00% of the respondents are indifferent for
the fact about the security of the franchising of the FnB companies through the franchise
companies.
TABLE 4.1.13
1 Agree 27 27.00%
3 Indifferent 16 16.00%
4 Disagree 11 11.00%
CHART 4.1.13
50.00%
45.00% 43.00%
40.00%
35.00%
30.00% 27.00%
25.00%
20.00% 16.00%
15.00% 13.00%
11.00%
10.00%
5.00%
0.00%
Agree Strongly Agree Indifferent Disagree Strongly
Disagree
Interpretation:
From the above table and chart, it is interpreted that 43.00% of the respondents strongly
agree, 27.00% of the respondents agree and 16.00% of the respondents are indifferent for
the satisfaction of the franchising through the organization.
TABLE 4.1.14
1 Agree 32 32.00%
3 Indifferent 13 13.00%
4 Disagree 7 7.00%
CHART 4.1.14
40.00%
35.00%
35.00% 32.00%
30.00%
25.00%
20.00%
15.00% 13.00% 13.00%
10.00% 7.00%
5.00%
0.00%
Agree Strongly Agree Indifferent Disagree Strongly
Disagree
Interpretation:
From the above table and chart, it is interpreted that 35.00% of the respondents strongly
agree for purchasing online products and 32.00% of the respondents agree for purchasing
online products.
TABLE 4.1.15
1 Yes 46 46.00%
2 No 54 54.00%
CHART 4.1.15
56.00%
54.00%
54.00%
52.00%
50.00%
48.00%
46.00%
46.00%
44.00%
42.00%
Yes No
Interpretation:
From the above table and chart, it is interpreted that 54.00% of the respondents have not
purchased any franchising services already.
TABLE 4.1.16
Respondents Classification based on the social community website that is preferred to get the
notifications of the current updates of the franchising organization
2 Facebook 17 17.00%
3 Twitter 54 54.00%
4 Linked In 3 3.00%
5 Youtube 8 8.00%
6 Others 5 5.00%
CHART 4.1.16
60.00%
54.00%
50.00%
40.00%
30.00%
20.00% 17.00%
13.00%
8.00%
10.00% 5.00%
3.00%
0.00%
Google Plus Facebook Twitter Linked In Youtube Others
Interpretation:
From the above table and chart, it is interpreted that 54.00% of the respondents use twitter,
17.00% of the respondents use facebook and 13.00% of the respondents use googleplus to
get the notifications of the current updates of the franchising organization
TABLE 4.1.17
Respondents Classification based on whether have viewed any videos, news or magazine of
the franchising organization
1 Yes 53 53.00%
2 No 47 47.00%
CHART 4.1.17
54.00%
53.00%
53.00%
52.00%
51.00%
50.00%
49.00%
48.00%
47.00%
47.00%
46.00%
45.00%
44.00%
Yes No
Interpretation:
From the above table and chart, it is interpreted that 53.00% of the respondents have viewed
any videos, news or magazine of the franchising organization
TABLE 4.1.18
Respondents Classification based on the considered criteria while going for a franchising
option
1 Category 39 39.00%
3 No of Franchise 14 14.00%
outlets
4 Investment 16 16.00%
CHART 4.1.18
45.00%
39.00%
40.00%
35.00% 31.00%
30.00%
25.00%
20.00% 16.00%
14.00%
15.00%
10.00%
5.00%
0.00%
Category Area Required No of Franchise Investment
outlets
Interpretation:
From the above table and chart, it is interpreted that 39.00% of the respondents considered
category as a criteria, 31.00% of the respondents have considered area required as the
criteria and 16.00% of the respondents have considered investment as the criteria for
choosing the franchising.
TABLE 4.1.19
Respondents Classification based on the verified FnB that can be considered for franchising
CHART 4.1.19
45.00%
38.00% 39.00%
40.00%
35.00%
30.00%
25.00%
20.00%
15.00% 13.00%
10.00% 7.00%
5.00% 3.00%
0.00%
The Chocolate Bangs Fried Cafe The Food Court Kathi Junction
Heaven Chicken Frespresso Specialist / 9 Foods Pvt. Ltd
Interpretation:
From the above table and chart, it is interpreted that 39.00% of the respondents considered
Bangs Fried Chicken, 38.00% of the respondents considered Chocolate Heaven and 13.00%
of the respondents considered Kathi Junction Foods Pvt Ltd as a verified FnB outlet for
franchising.
TABLE 4.1.20
1 Yes 63 63.00%
2 No 37 37.00%
CHART 4.1.20
70.00%
63.00%
60.00%
50.00%
40.00% 37.00%
30.00%
20.00%
10.00%
0.00%
Yes No
Interpretation:
From the above table and chart, 63.00% of the respondents have interpreted that they will
refer this franchising company to their circles.
CHAPTER – V
From the above analysis, it is found that 30.00% of the respondents are between 21
Yrs – 30 Yrs, 27.00% of the respondents are 51 Yrs and Above and 21.00% of the
respondents are between 31 Yrs – 40 Yrs.
From the above analysis, it is found that 30.00% of the respondents are professionals,
20.00% of the respondents are in administrative and into business and 11.00% of the
respondents are into managerial positions.
From the above analysis, it is found that 35.00% of the respondents are engineering
graduates, 30.00% of the respondents are under graduates and 25.00% of the
respondents are post graduates.
From the above analysis, it is found that 33.00% of the respondents are interested in
International Franchise/License, 32.00% of the respondents are interested in Premium
Franchises and 27.00% of the respondents are interested in buying or selling
properties
From the above analysis, it is found that 33.00% of the respondents are attracted by
International Franchises/License, 29.00% of the respondents are attracted by premium
franchises and 27.00% of the respondents are attracted by buying or selling of
propoerties.
From the above analysis, it is found that 34.00% of the respondents are given Verified
by Visa/MasterCard Secure Code, 28.00% of the respondents are given net safe and
26.00% of the respondents are given IVR 3D Secure.
From the above analysis, it is found that 66.00% of the respondents are needing net
safe, 14.00% of the respondents are needing Verified by Visa/MasterCard Secure
Code and 12.00% of the respondents are needing IVR 3D Secure.
From the above analysis, it is found that for 65.00% of the respondents interprets top
business opportunities are made available by the franchise organization.
From the above analysis, it is found that by 83.00% of the respondents that they are
able to find the franchise that is needed by them.
From the above analysis, it is found that by 88.00% of the respondents that the
featured franchise companies details are published by the organization.
From the above analysis, it is found that by 46.00% of the respondents that Dosa
Plaza is listed, 34.00% of respondents that Puffs n Rolls is listed and 15.00% of the
respondents that Masala country is listed as a part of the FnB industry.
From the above analysis, it is found that 46.00% of the respondents agree, 34.00% of
the respondents strongly agree and 15.00% of the respondents are indifferent for the
fact about the security of the franchising of the FnB companies through the franchise
companies.
From the above analysis, it is found that 43.00% of the respondents strongly agree,
27.00% of the respondents agree and 16.00% of the respondents are indifferent for the
satisfaction of the franchising through the organization.
From the above analysis, it is found that 35.00% of the respondents strongly agree for
purchasing online products and 32.00% of the respondents agree for purchasing online
products.
From the above analysis, it is found that 54.00% of the respondents have not
purchased any franchising services already.
From the above analysis, it is found that 54.00% of the respondents use twitter,
17.00% of the respondents use facebook and 13.00% of the respondents use
googleplus to get the notifications of the current updates of the franchising organization
From the above analysis, it is found that 53.00% of the respondents have viewed any
videos, news or magazine of the franchising organization
From the above analysis, it is found that 39.00% of the respondents considered
category as a criteria, 31.00% of the respondents have considered area required as
the criteria and 16.00% of the respondents have considered investment as the criteria
for choosing the franchising.
From the above analysis, it is found that 39.00% of the respondents considered Bangs
Fried Chicken, 38.00% of the respondents considered Chocolate Heaven and 13.00%
of the respondents considered Kathi Junction Foods Pvt Ltd as a verified FnB outlet for
franchising.
From the above analysis, it is found that 63.00% of the respondents will refer this
franchising company to their circles.
5.2 SUGGESTIONS AND RECOMMENDATIONS
While selecting a franchising option for the Food and Beverages Industry, the following points
should be focused on.
The executives have integrity. Do the franchisees say they trust the people running the
company? I would look for franchise companies with a sense of purpose and inspiration.
When push comes to shove, what motivates these people? Whatever company you're looking
to buy into, do Web searches on the names of the owners. Do you find links to their charitable
work – or rip-off reports?
The business model is unique and timeless. If a franchise company is making money today,
pay attention but don't become enamored. Will it make money seven years from now? Unless
you're open five to 10 years, you're not going to make a return on your investment. I
remember a franchise company that helped design business's first web sites back when the
Internet was still a new thing. The idea worked for a time but wasn't sustainable.
The company respects its franchisees. McDonald's is tops when it comes to collaboration with
franchisees. Most multimillion-dollar McDonald's ideas, including the filet of fish sandwich,
came from franchisees. Much of the company's success has come from recruiting gifted
franchisees who know what they're talking about. McDonald's has a reputation for respecting
and listening to them, too.
5.3 CONCLUSION
Food Service Franchise business is among the most popular forms of franchise business
opportunities. Some of the most instantly recognizable names in the franchise industry are
from this segment only. The good things about food service franchise opportunities are that it
has got a universal appeal, widest potential market and don’t require any particular specialist
skills. You will find many food service franchises for sale, as food items are needed by
everyone. There are many different options for food service franchising, such as fast food,
health food, pizza, sandwich shops, ice cream parlour, smoothies/juice bars, cookie shop, and
bakery as well as restaurant franchises.
REFERENCES
http://www.entrepreneur.com/article/219998
http://www.forbes.com/sites/theyec/2012/11/14/want-to-franchise-your-small-business-
8-tips-to-get-started/
http://www.entrepreneur.com/article/219318
http://www.franchiseindia.com/business-opportunities/theme-restaurants/Shawarma-
Point/
APPENDIX
QUESTIONNAIRE
1) Age
a) Below 20 Yrs
b) 21 Yrs – 30 Yrs
c) 31 Yrs – 40 Yrs
d) 41 Yrs – 50 Yrs
e) 51 Yrs and Above
2) Department
a) Professional
b) Administrative
c) Managerial
d) Business /Trader
e) Clerical, Supervisory and related worker
f) Any other
3) Qualification
a) Diploma Holder
b) Engineering Graduate
c) Under Graduation
d) Post Graduation
e) Others
4) Services available
a) Premium Franchises
b) International Franchise/License
c) Buy/Sell Existing Business
d) Buy/Sell Existing properties
5) Attracting services
a) Premium Franchises
b) International Franchise/License
c) Buy/Sell Existing Business
d) Buy/Sell Existing properties
6) What is the security that is given to online customers who avail the services of the
organization online?
a) IVR 3D Secure
b) Net Safe
c) Verified by Visa/MasterCard Secure Code
d) Others
a) IVR 3D Secure
b) Net Safe
c) Verified by Visa/MasterCard Secure Code
d) Others
8) Whether the top business opportunities are provided by the franchise organization?
a) Yes b) No
a) Yes b) No
a) Yes b) No
a) Dominos
b) Puffs 'n' Rolls
c) Masala Country
d) Dosa Plaza
e) McRennet
12) Do you agree to the security of the franchising from the organization?
a) Agree
b) Strongly Agree
c) Indifferent
d) Disagree
e) Strongly Disagree
13) You are satisfied with the franchising through the franchising organization
a) Agree
b) Strongly Agree
c) Indifferent
d) Disagree
e) Strongly Disagree
a) Agree
b) Strongly Agree
c) Indifferent
d) Disagree
e) Strongly Disagree
a) Yes
b) No
16) Which social community website do you prefer to get the notifications of the current
updates of the franchising organization?
18) While choosing a FnB franchise, which criteria do you mainly consider?
a) Yes b) No