Transactions involving foreign and local investors in many places around the world take place regularly. Product concepts, branded products, marketing abilities, and operational activities are typically transferred to franchisees by franchisors. Companies also engage with franchisees to coordinate actions, handle issues, and administer the network. Thus, the franchisor and franchisees are interdependent pieces of a system that must strive to maximize the program’s total production by utilizing resources effectively to achieve long-term profitability. Organizational leaders, franchising as a modus operandi (franchisors) and franchisees, on the other hand, are separate economic entities operating in different settings (Sashi & Karuppur, 2002). As a result, a variety of factors influence transaction fees and the method of operation in the international marketplace, including complexity involved, brand name, ambiguity mainly in the international economy, cultural diversity, goal inconsistency, and competitive intensity, impact exchanges between foreign and local investors.
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