Franchising Agreements and Organizational Performance of Multinational Corporations: A Synthesis of Theory, Evidence, and Strategic Implications

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dc.contributor.authorAdebayo Adeyemi Abdulwasiu
dc.date.accessioned2026-03-10T12:53:00Z
dc.date.available2026-03-10T12:53:00Z
dc.date.issued2026-03-06
dc.description.abstractFranchising agreements in multinational corporations often lead to challenges in maintaining consistent brand standards and operational control across diverse markets. These issues can negatively impact organizational performance by diluting brand equity and creating operational inefficiencies due to the franchisor's limited direct oversight. This study investigated the impact of franchising agreement on organisational performance of multinational corporation with special emphasis on Nigerian bottling company, Ilorin, Kwara state. The study employed crosssectional survey research design. The study further utilized questionnaires to collect primary data from ninety-three employees of Nigerian bottling company, Ilorin, Kwara state. A total of 93 copies of questionnaires were distributed and retrieved for data analysis. Standard multiple regression was employed to analyze the data. The findings indicated that cultural adaptation showed a significant relationship with organisation performance (β = .453, t = 5.279, p < 0.05), and territory right and marketing protection also exhibited a positive and significant relationship with customer relationships (β .687, t = 7.680, p = 0.000). The study concluded that MNCs that effectively adapt their franchising agreements to the local culture of the host country tend to achieve superior financial and operational performance and clear and unambiguous delineation of territorial rights and robust marketing protection within the agreement significantly boosts franchisee confidence and commitment. The study recommends that MNCs should develop a flexible framework that allows for country-specific modifications and the establishment of a transparent conflict resolution mechanism in a clear and well-defined process for dispute resolution, which should be a core component of every franchise agreement.
dc.description.sponsorshipSelf
dc.identifier.citationAdebayo, A. A. (2025). Franchising Agreements and Organizational Performance of Multinational Corporations: A Synthesis of Theory, Evidence, and Strategic Implications. Journal of Management Sciences, Faculty of Management Sciences, Alex Ekwueme Federal University Ndufu Alike, Ebonyi State. 10(2), 261-275.
dc.identifier.urihttps://kwasuspace.kwasu.edu.ng/handle/123456789/6537
dc.language.isoen
dc.publisherAE-FUNAI JOURNAL OF MANAGEMENT SCIENCES, Faculty of Management Sciences, Alex Ekwueme Federal University Ndufu Alike, Ebonyi State.
dc.relation.ispartofseries10; 2
dc.titleFranchising Agreements and Organizational Performance of Multinational Corporations: A Synthesis of Theory, Evidence, and Strategic Implications
dc.typeArticle
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