18 • 100 GREAT BUSINESS IDEAS
In practice
- Ensure a consistent delivery of high-quality service and product
across all franchises to gain a positive, stable, and trusted
reputation among consumers. - Setting up new franchises too close to existing ones can risk
one of the operations being “cannibalized” and losing trade.
Although this can be a positive business practice, it is important
to consider the repercussions. - Allow franchises to achieve a higher degree of independence,
differentiating them from passive investors or conglomerates. - Use expert, experienced lawyers or advisers to help—whether
you are selling or buying a franchise. The key to success is to
have the right business product or service, to be clear about the
details, and to agree and work together.