Franchising is a formidable fixture today in most countries, usually catering to such lines of business as food chains, snack counters, coffee brewers and laundry services. The line of franchising businesses has been the ideal way for upstart entrepreneurs seeking profitable opportunities that they did not experience from employment and affiliations with various businesses.
Food is perhaps the logical choice for franchising business acquisitions today. Outside that of being a basic necessity for people, food service franchises provide an established set of food and beverage menus that allow potential customers an easier way of selection and adapt to their schedule. People who continue to endorse and prefer such food chains for food and snack requirements would use the quality and speed of service as their measuring point for reliable franchise businesses.
Franchises known all over the world have usually established their name in certain areas or countries, the brand name or trademark of which will be the carrying point for successful recognition by the consumer market. The proper identification and selection of a franchise to carry will largely depend on how in demand a certain carrying brand or commodity is in a specific location.
Location is one element that will be a key prior to the final selection of what franchise business to carry will be made. Places cater to different consumer classes and this is something that should be properly taken into consideration. Reason behind this is the fact that the level of affordability of most people will vary and no matter how popular a franchise would be, placing it in out of coverage target market areas will render the placement totally useless.
Like for example, Starbucks is a known establishment that sells coffee above the usual prices that a person would be able to pay for. But despite their seemingly high prices, Starbucks has successfully garnered the consumer’s nod as more than just a coffee consumption place but also a place where people can hangout and hold meetings. In this case, catering towards the working class and the A and upper B classes has become their gauge for success. Imagine Starbucks in the lower classes and the most probable result would be for the placed franchise location as a hangout or worse, a dilapidating place where products would most probably expire.
The number of franchises available in the world today does not portray the whole history of a successful franchise business. The business approach towards franchising should be broadened in such a way where studies with regards to the 4P’s of Marketing must be taken into consideration. Marketing and serving the proper consumers that will endorse the end product of the franchising business should still be the main purpose for establishing a business, the same outlook that entrepreneurs will look out for when laying out investments.