Why Does Starbucks Franchise Cost Prefer Licensing To Franchise?

[MediaWayz]

Why does Starbucks Franchise Cost not use the more conventional Franchise method of operation?

• Licensing makes the possibility of controlling brand image stronger for Starbucks.
• It ensures quality products that are produced in one country are the same as that produced in another country to meet the intended customer demands.
• Enables Starbucks to affiliate with professional operators in particular markets.
• The Starbucks franchise cost is higher because the company has some specific standards that have to be met by the franchisee organization.
• Licensing assists in preserving exclusivity at prime buy locations.

Is Starbucks’ decision to license rather than franchise appropriate? Let’s hear your thoughts.

[radhikadutta]

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[zayan hameed]

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[Autor]

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