Economic Bulletin of the National Mining University

 

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Article

Issue:2022 №4 (80)
Section:Economic theory
UDK:334:339
DOI:https://doi.org/10.33271/ebdut/80.018
Article language:Ukrainian
Pages:18-25
Title:Conceptual and terminological apparatus to research franchising in economics
Author:Holubka D. S., Ivan Franko National University of Lviv
Annotation:Methods. In the process of researching the concept of franchising and its components, general scientific and specific methods were used: the method of abstraction and generalization – when defining the concept and economic nature of franchising; system analysis – during the study of the conceptual and terminological apparatus of franchising and its systematization according to the relevant criteria; analysis and synthesis, induction and deduction – during the development of proposals for improving the conceptual and terminological base to research franchising; logical analysis – to determine the advantages and disadvantages of individual approaches, principles and legal frameworks in the field of franchising as a model of business organization. Results. The evolution of views on the content of franchising is studied. This made it possible to divide the concepts of franchising into groups of conceptual (franchising – international, multinational, master, self-employment, sub-; commercial concession, business cooperation, franchise model of cooperation, globalization and internationalization of business), operational (franchising business, social franchising, franchise relations, franchise operation, franchise network, franchise system, franchise ethics, franchise resilience), commercial (franchise package, franchise cost, franchise start-up costs (equipment, inventory, start-up capital, insurance), lump sum, franchisee startup investment, franchise extension fee, franchise payments (fees, commissions, additional advertising fee ), royalties (permanent), franchise income, brand capital) and those that indicate the object of activity (intangible business assets – image (trademark, brand, reputation, experience of activity and implementation of a successful business idea), technological (know-how, standards). The main approaches to understanding franchising were determined, which indicated its basic substantive elements, namely cooperation and partnership, the business organization model, the method of exiting and promoting products on the market, the transfer of rights to use intangible assets, the investment regulator. The defining of basic kinds to franchising gave an opportunity to specify on perspective of development of social franchising and franchising of updates. The threats of pseudofranchising are pointed out and studied. Novelty. There is substantiated the perspective of the development of franchising analysis methodology, which can become an effective direction of the post-war recovery of Ukraine against the background of the high investment potential of international partners, which actualizes scientific research on this topic. Practical value. As part of the study of the commercial concepts of franchising, there were clarified the components of the franchise cost (lump sum, royalties, marketing deductions) in the franchise package formation system. 
Keywords:Economy of Ukraine, Franchising, Collaboration, International business, Social franchising, Cost of franchise, Pseudofranchising
File of the article:EV20224_018-025.pdf
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