Knowledge sharing in franchise system: franchisee self-leadership, satisfaction, and compliance

Abstract

Purpose - The purpose of this paper is to deepen the understanding of the predictors and outcomes of knowledge sharing in a franchise system. An integrative framework is proposed to examine the influence of franchisee self-leadership on knowledge sharing and its subsequent influence on franchisee satisfaction and compliance. Design/methodology/approach - On the basis of a survey of 111 franchisees of two leading bakery franchise brands in Korea, this study confirmed data validity and tested hypotheses by adopting partial least square-structural equation modeling. Findings - Regarding the predictor of knowledge sharing, this research found that franchisee self-leadership has a positive effect on knowledge sharing. As outcomes, it found that active knowledge sharing has a positive effect on franchisee satisfaction and compliance. This study also shows that knowledge sharing mediates the relationship between self-leadership and franchisee satisfaction. Practical implications - This research advises franchisors to actively develop programs and communication channels for knowledge sharing with franchisees to induce high levels of compliance and satisfaction. Furthermore, as selecting potential franchisees is key to the success of franchising, this research highlights the significance of self-leadership as a crucial personal trait of franchisees. Originality/value - Despite the rapidly growing academic interest in franchise knowledge sharing, sparse theoretical approaches and empirical evidence are available. To address these limitations, this research presents an integrative model and empirical evidence.