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Gulf franchisee and European franchisee: the differences

A lot of differences exist between a Gulf franchisee and a European franchisee.

A Gulf franchisee possesses a portfolio of franchise concepts that he is perfectly able to manage. While he does not have to make a lot of effort researching financing, the European franchisee depends upon banks to start his franchise.

A Gulf franchisee rarely invests in a single unit; the rule often is a programmed opening of several units. On the other hand, it is very hard for a European franchisee to simultaneously open several units from the beginning of the franchisor/franchisee relation.

While a European franchisee needs help in the search for location, a Gulf franchisee benefits from easy entrance into malls.

A last difference resides in the aspect of franchisee animation. In the Gulf countries, the franchisor must motivate store managers and employees in order to animate the franchisee. InEurope, the franchisor is in direct contact with the franchisee.

One can thus notice that “franchisee” is one word covering very different realities.

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