The Relationship between Initial and Ongoing Fees in Franchising: A Meta-Analysis

Mechanisms and rationales for revenue sharing have been the subject of many theoretical and empirical studies on contracting. Franchisors typically derive economic profits (for the rights they grant to franchisees) through revenue sharing contracts. Franchising is a popular form of retailing in a wide range of product and service markets, plays a significant role in many developed economies and is a rapidly growing form of retailing in a number …