Summer Internship Project Report

On
“A STUDY ON PERCEPTION OF BRAND OWNER TOWARDS
EXPANDING FOOD FRANCHISE BUSINESS IN SURAT CITY”

At
FRANCHISE INSIDER

Submitted to
Institute Code: 805
S.R. LUTHRA INSTITUTE OF MANAGEMENT

Under the Guidance of

Ms. Drashti Shah
Assistant Professor

In Partial Fulfilment of the Requirement of the award of the degree of

Master of Business Administration (MBA)

Offered By

Gujarat Technological University

Ahmedabad

Prepared by:
Ms Vandana Tiwari
MBA (Semester - III)
July 2019
 STUDENT’S DECLARATION

I, undersigned hereby declare that the project report entitled “A Study on perception
of brand owner towards expanding food franchise business in Surat City”, with
special reference to Franchise Insider Company, Surat written and submitted by me
to Gujarat Technological University in Partial fulfilment of requirements for the
award of degree of Master Of Business Administration under the guidance of
Assistant Professor Ms drashti shah, is my original work and interpretations drawn
there in are based on material collected by myself.

Enrolment no. Name Signature

Place…… Date:………
 PREFACE

As a part of the MBA Circulam and in order to gain practical knowledge in the field
of management, I am required to make a report on “A Study on perception of brand
owner towards expanding food franchise business in Surat City” the basic
objective behind doing this project report is to get knowledge about opinion and
views of owners regarding franchise business.

During the internship duration I have learned a lot about franchise business model and
their practical practices. Information in this report is gathered through various
research papers, online websites and discussion with the concerned guide.

In this report I have tried to cover each and every aspect related to the franchise
business with best of my knowledge and capability. I hope this research would help
many business persons in the future.
 ACKNOWLEDGEMENT

On the very outset of this project I would like to extend my sincere and heartfelt
obligation towards all the personages who have helped me to give my big shot.
Without their active guidance, help, cooperation and encouragement, I would not have
made progress in the project.

First of all, we would like to thank to Gujarat Technological for adding Summer
Internship Project in our curriculum activity.

I extend my gratitude to S.R. Luthra Institute of Management University and Dr. J. M.

Kapadia (Director of S. R. Luthra Institute of Management) for giving me this
opportunity.

I am grateful to Mr. Samir desai (Managing director of franchise insider company)

who is my mentor and Ms. Drashti Shah (assistance professor of S.R Luthra institute
of management) who is my sip guide they both are helped me throughout the sip
report.

I also acknowledge with a deep sense of respect, towards my parents and family, who
has always supported me morally as well as economically. At last but not least
gratitude goes to all my friends who directly or indirectly helped me to complete this
project report.

EXECUTIVE SUMMURY
 The franchising industry is one of the fastest growing sectors in the Indian economy
and as the industry is rising there is huge potential in the market. However, it is
imperative for the Firms to know the opportunities, trends and growth of the industry.

This project is focused on finding out the “A project report on perception of brand
owner towards expanding food franchise business in the Surat city”. This
research presents an introduction to perception, management consultancy, franchising
and its current scenario and the procedure of franchise. Advantage and dis advantage
of perception, what do you means by franchise, benefits of franchise etc

Further the chapter of industry gives an overview of the consultancy industry pestle
analysis in global level, stat level and swot analysis, E-market position, technical
analysis, current market position etc.

The company profile represents fees structure, swot analysis of company,

marketing tools apply in company, vision, mission, core value, uniqueness, key
person who run the franchise company.

The research was done through collection of primary data of and secondary data.
Secondary data was collected from various websites and other sources. Primary data
was administrated through questionnaires, of which later a detailed analysis was done
using various tools like MS Word, MS Excel and SPSS software and also use
statistical techniques like chi-square and krushkal-wallis test and frequency analysis.
And also deals with the field work of the different area of Surat City.

On the basis of data analysis, Interpretations and conclusion is made. from this
research is Positive and negative both factors are influencing owners perception
towards the food franchise business most of the owners are need for the consultant to
become expand business and most of the owner also see the good opportunity to open
their brand through franchise but they are not much aware about process of franchisee
rule and regulation most of the owners views positive rating fast way to expand their
business ,easy to get finance and some of owners views negative to not easy setup
business and difficult to manage franchise business.

TABLE OF CONTENTS

Sr. No. Particulars Page No.

1. Introduction to the Study
2. Industry Profile
a. Global level of industry
b. National level of industry
c. State level of industry
d. PESTEL
e. Current trends
f. Major Players
3. Company Profile
a. Company Profile
b. Organogram of Bank
c. Divisions/ Departments
d. SWOT
e. Market Position
4. Review of Literature (at least 25 Research Papers)
5. Research Methodology
a. Problem Statement
b. Research Objective
c. Research Design
i. Type of Design
ii. Sampling
iii. Data Collection
iv. Tools for Analysis
v. Benefits of the Study
vi. Limitations of the Study
6. Data Analysis
7. Findings & conclusion
8. Recommendation
Bibliography
Annexure

LIST OF TABLES
 Table Page
Sr. No. Particulars No. No.
1 Fees structure 3.1
2 Table of qualification 6.1
3 Table of zone 6.2
4 Table of Consultant of food business 6.3
5 Table of business opportunity 6.4
6 Table of brand outlet 6.5
7 Table of zone and opportunity of owner 6.6
8 table of qualification and views of owners 6.7
9 table of qualification and preference of owners 6.8

LIST OF FIGURES

Table Page
Sr. No. Particulars No. No.
1 Figure Name: Growth of Franchise Business 2.1

2 Figure name: OGRAM OF FRANCHISE INSIDE 3.1

Table No.
3 Figure name: Process of Franchising 3.2
4 Figure name: Project Management process 3.3
5 Figure Name - qualification 6.1
6 Figure Name - ZONE 6.2
7 Figure Name – consultant of food business 6.3
8 Figure Name – business opportunity 6.4
9 Figure Name – brand outlet 6.5

10 Figure name: chi-square test of business opportunity 6.6

Introduction
Perception

“Perception can be defined as the process of receiving, selecting, organising,

checking and reacting to sensory stimuli or data.”

Management consulting
Consulting firm are more concentrate for giving suggestion of companies to the most
important way manage and run their business. The firms will give suggestion on
concepts topic as their business content strategy and operation techniques, and also
give knowledge about special knowledge such as time management, depending upon
the needs of the company consultancy.

Franchise consultant

Franchise consultant is someone who consults and give proper information you
throughout the twist and turns of the franchise world and teaches you how to work
your way through it and expand your business. Whether you are a franchisor or a
franchisee, there is a benefit to using a franchise consultant.

Having a specific person to answer the important questions about franchising and
being successful can-do wonders for expanding within a franchise. In addition,
potential franchisees don’t Permanently to know what was required, how to cracked
and where to start are business. A franchise consultant can help more to give proper
plan to expand your business.

A franchise consultant is different and totally contrast than as franchise broker.

Franchise broker is someone actively trying to expand their sell franchises on behalf
of the franchisor owner. It is very common to a real estate agent representing the
buyer of the house.
Overview of Franchise and food franchise business

Franchising is the practice of using and run another firm’s successful business

model. The word ‘franchise’ is of Anglo-French derivation – from franc – meaning
free, and is used both as a noun and as a (transitive) verb. For the franchisor, the
franchise is an alternative to building ‘chain stores‘ to distribute and expand the goods
that avoids the investments and liability of a chain in franchise business. The
franchisor’s growth depends on the success of the franchisees. The franchisee is said
to have a greater incentive than a direct employee because he or she has a direct stake
in the business.

Essentially, and in terms of distribution, the franchisor is a supplier who allows an

operator, or a franchisee, to use the supplier’s trademark and distribute the supplier’s
goods. In return, the operator pays the supplier a fee.

Thirty-three countries, including the United States, and Australia, have laws that
explicitly regulate franchising, with the majority of all other countries having laws
which have a direct or indirect impact on franchising.

Although franchisor revenues and profit may be listed in a franchise disclosure

document (FDD), no laws require an estimate of franchisee profitability, which
depends on how intensively the franchisee ‘works’ the franchise. Therefore,
franchisor fees are typically based on ‘gross revenue from sales’ and not on profits
realized. See remuneration.

Various tangibles and intangibles such as national or

international advertising, training and other support services are commonly made
available by the franchisor. Franchise brokers help franchisors find appropriate
franchisees. There are also main ‘master franchisors’ who obtain the rights to sub-
franchise in a territory. According to the International Franchise
Association approximately 4% of all businesses in the United States are franchisee-
worked.

It should be recognized that franchising is one of the only means available to access

venture investment capital without the need to give up control of the operation of the
chain and build a distribution system for servicing it. After the brand and formula are
carefully designed and properly executed, franchisors are able to sell franchises and
expand rapidly across countries and continents using the capital and resources of their
franchisees while reducing their own risk.

Franchisor rules imposed by the franchising authority are usually very strict in the US
and most other countries need to study them carefully to protect small or start-up
franchisee in their own countries. Besides the trademark, there are proprietary service
marks which may be copyrighted and corresponding regulations.

Whether it is a food franchise, home-based franchise, automotive franchise, sign

franchise, senior care franchise, it will be able to provide you with franchise
information on the selections that meet your criteria. Perhaps a home-based business
is a better fit for you. Search based on your criteria and sees only what fits.

Advantage and dis-advantage of franchise

Advantages Disadvantages

Expansion can be faster because

Franchisees cannot be managed as closely as
franchisees provide the labour
employees and may have different goals to
and their sales provide the
the franchisor
growth

Franchisees are responsible for

Franchise recruitment can be slower and less
their company’s success so there
efficient than employee recruitment
was more motivated

Franchisees may be more Franchisors earn royalties from sales.

talented at growing the business Franchisees earn money from profits.
and turning a profit than Achieving growth in both isn’t always
employees would be possible, potentially causing conflict

The franchisor puts relatively Franchisees don’t always work together like
little money into new locations as employees might, thus losing any potential
this comes from the franchisee collective benefit
 The upfront investment (time and money)
Successful locations can return
required can be huge – a pilot operation may
high royalties
need to be tested

Consistent operations across the

business generally means Selecting one wrong franchisee can ruin the
improved efficiency and higher reputation of the whole franchise
quality levels

Franchisees should be fully Sharing confidential information with

committed due to the investment franchisees is risky if it can not fully
to put in. committed to the business.

Variables that effect on perception

1. Selective Perception: 
It was receiving a vast amount of information. Therefore, it is impossible for us to
assimilate everything see - on eye certain stimuli can betaken. That is why their
boss may reprimand some employees for doing something that when done by
another employee goes unnoticed. Since, it can't observe everything going on
about us, engage in selective perception.
Selective perception is also out tendency to choose information that supports our
view points; Individuals often ignore information that makes them feel
uncomfortable or threatens their view points.

Selective perception allows us to "speed-read" others, but not without the risk of
drawing an inaccurate picture. Because it was seeing what is want to see, itcan
draw unwarranted conclusions from an ambiguous, perception tends to be
influenced more by an individual's attitudes, interests, and background than by the
stimulus itself.

2. Stereotype:
  A stereotype is a generalization about a group of people. When it was judge someone
on the basis of our perception of the group to which he or she belongs, there are using
the shortcut called stereo typing. Stereo types reduce information about other people to
a workable level, and there are efficient for compiling and using information. It is a
means of simplifying a complex world and it permits us to maintain consistency. It is
less difficult to deal with an unmanageable number of stimuli if w uses stereo types.
Stereo types can be accurate, and when it can be accurate, can be useful perceptual
guidelines. However, most of the times stereotypes are inaccurate. Attractiveness is a
powerful stereo type. assume that attractive individuals are also warm, kind, sensitive,
poised, sociable, outgoing, independent, and strong. Are attractive people sociable,
outgoing, independent, and strong? Are attractive people really like this? Certainly, all
of them are not. in organizations, frequently hear comments that represent stereo types
based on gender, age, nationality etc. From a perceptual stand point, if people expect
to see this stereo type, that is what are will perceive, whether it's accurate or not.

3) Halo Effect:
  The halo error in perception is very similar to stereo typing. Where as in stereo
typing the person is perceived according to a single category, under the halo effect
the person is perceived on the basis of one trait.
When draw a general impression about an individual based on a single
characteristic, such as intelligence, sociability or appearance, a halo effect is
operating. The propensity for the halo effect to operate is not random. Research
suggests it is likely to be most extreme when the traits to be perceived are
ambiguous in behavioural terms, when the traits have moral over tones, and when
the perceiver is judging traits with which he or she has limited experience. Example
of halo effect is the extremely attractive women secretary who is perceived by her
male boss as being an intelligent, good performer, when, in fact, she is a poor typist.
3. First-impression error: 
Individuals lay a good deal on the first impression. The first impression is a
permanent impression are remember the first experiences to have about someone,
and sometimes it was very much reluctant to change our initial impression. First -
Impression of error means that the attitude of forming a persistent opinion about a
person based on initial assumptions. Privacy effects can be especially dangerous in
 interviews, given that it was quickly create first impressions and this impression
may be the basis of long-term employment relationships.

4. Contrast Effect: 
Stimuli that contrast with the surrounding environment are more likely to be
selected for attention than the stimuli that blends in. A contrasting effect can be
caused by colour, size or any other factor that is unusual (any factor that
distinguishes one stimulus from others at present). For example, a man walking
down the street with a pair of crutches is more attention getting than a common
man. A contrast effect is the evaluation of a person's characteristics that are
affected by comparisons with other people recently encountered that rank higher or
lower on the same characteristics. The "contrast" principle essentially states that
external stimuli that stands out against the background or which are not what are
expecting well receive their attention. The contrast effect also explains why a male
students tands out in a crowd of female students. There is nothing unusual about
the male students but, when surrounded by females, he stands out.
An illustration of how contrast effects operate in an interview situation in which
one sees a pool of job applicants. Distortions in any given candidate's evaluation
can occur as a result of his or her place in the interview schedule. The candidate is
likely to receive a more favourable evaluation if preceded by mediocre applicants,
and a less favourable evaluation if preceded by strong applicants.

5. Projection: 
It is easy to judge others if assume it was similar to us. This tendency to attribute
one's own characteristics to other people is called projection. Projection can distort
perceptions made about others. People who engage in projection tend to perceive
others. According to what are like rather than according to what the person being
observed is really like. When managers engage in projection, it can be
compromising their ability to respond to individual differences. It was tending to see
people as more homogeneous than it was
really are.
6. Implicit Personality Theories
It was tend to have our own mini-theories about how people look and behave.
These theories help us organize our perceptions and take shortcuts instead of
integrating new information all the time. Implicit-personality theory is opinions
formed about other people that are based on our own mini theories about how
people behave. For example, believe that girls dressed in fashionable clothes will
like modern music and girls dressed in traditional dress like saree will like Indian
classical music. These implicit personality theories are barriers because the limit
out ability to take in new information when it is available.

7. Self-Fulfilling Prophecies:
  Self-fulfilling prophecies are the situation in which our expectations about people
affect our interaction with them in such a way that our expectations are fulfilled.
Self -fulfilling prophecy is also known as the Pygmalion effect, named after a
sculptor in Greek way who carved a statue of a girl that came to life when he
prayed for this wish and it was granted. The Pygmalion effect has been observed in
work organizations as well. A manager's expectations of an individual affect both
the manager's behaviour toward the individual and the individual's response. For
example, suppose a manager has an initial impression of an employee as having
the potential to move up within the organization. Chances are that the manager will
spend a great deal of time coaching and counselling the employee, providing
challenging assignments and grooming the individual for success.

Over view to Study of brand owner perception toward food and

beverages franchise
100 plus food and beverage franchise opportunity in Surat as on may 2019.buy food
and beverages franchise in Surat and 154 countries with profit margin up to 60%
investment ranging from INR 2.1 lakh-21 crore.
In current situation in India only 10% businesses are franchise. it is very
important for market owners to understand what is the perception of the existing and
the potential brand owners regarding food franchise business. Without understanding
this concept, it becomes very difficult to design effective marketing strategies. So, it is
important to undertake study which studies the perception of brand owners towards
expanding food & beverages franchise business.

The research topic is “A study on brand owner perception towards expanding

food franchise business” the primary object is to measure and understand a perception
of brand owners towards expanding food and beverages franchise business .so it gives
clear picture of brand owner attitude toward food franchise business for it positive and
negative both the factors are considered for it. Business owner perception is
influenced by the positive factors as well as negative factors.

it considered negative factor on perception of brand owner toward food

franchise once are like risk of piracy, trust on franchise, don’t want to share profit
with others, lack of knowledge, etc. and positive once like growth of brand, easy
expansion, chances of success and less capital for franchise etc all.
Industry profile

A. GLOBAL LEVEL SCENARIO OF CONSULTANCY

INDUSTRY
Businesses around the world have more and more to rely in consultancy to thrive
through a more complex and disruptive fast changing economic, social and
technological fast changing world. The consultancy industry is an increasing part of
the business life and special as the international economy gets increasingly more
volatile and software driven. Having reached the $11.5 billion mark this year, the
Indian business consulting market is due to book further growth over the next year,
with Statistics analysis now forecasting the market to rise over the $12 billion
threshold by 2018. The growth is consistent with a trend over the last few years which
have seen the Indian management consulting sector having registered an average
growth rate of 6.75% since 2013.

The top four largest “Consulting Firms” consulting firms, all with a heritage in the
accountancy sector, known as the Big Four Deloitte, PwC, “EY” and KPMG, hold a
combined 40% of the total consulting market.

The years 2008-09 marked a challenging period throughout the world of business, in
light of the global economic slowdown and shrinking corporate budgets and as digital
shifted the global economy more and more the consultancy has been growing and
changing to digital, tech and simple the process of change management.

In general, major consulting companies, including leading firms in management

consulting and HR consulting, along with other advisories such as accounting firms,
found themselves with substantial drops in business during 2009. An example
is India’s largest outsourced business and technology consulting firms were
complaining that clients were delaying or cancelling projects as 2009 began.

However, in recent years, consultancy corporate profits in general grew dramatically,

meaning that executives are now more willing to authorize new consulting projects as
long as they see the potential for a good return on the cost. For example, India’s
leading consultancies have recently enjoyed substantial growth in employee count and
revenues, as have most of the global.

Consulting firms based in India have carved out a very significant market share in this
field.  Other significant sectors within consulting include human resources and
employee benefits consulting; risk management; industrial automation; logistics and
distribution; and environmental and regulatory compliance. According to the
International Franchise Association Educational Foundation’s (IFAEF) franchise
Business Economic outlook of 2018.

Figure No: 2.1

Figure Name: Growth of Franchise Business

Source: International Franchise Association Educational Foundation

B. NATIONAL LEVEL SCENARIO OF CONSULTANCY

INDUSTRY
At the end of the Cold War, American and other Western corporations employed
consultants from Asian nations, including India, before venturing to explore these
new markets.

In India, after the liberalisation of the economy, consultants were hired by Indian
companies that wanted to expand their operations abroad. Now, Indian consultants,
particularly those in the IT world, are most sought after, not only in India but also by
world powers, for developing their global businesses.

Today, TCS, Infosys, Wipro have offices all over the world, and they give US and
European consultancies a run for their money. Among other major IT consulting and
outsourcing companies in India are Tech Mahindra, HCL Technologies, Genpact,
Mphasis, and Mindtree.

The Indian consulting story began in the 1990s when C. K. Birla requested McKinsey
to devise a turnaround project for Hindustan Motors. Soon, McKinsey opened an
office in Delhi, employing about 100 consultants.
According to an estimate, there are now over 10,000 big and small consulting firms in
India, 6,000 of them in the four metros of Delhi, Mumbai, Chennai, and Kolkata.

According to the Associated Chambers of Commerce and Industry, the Indian

consulting industry is expected to record revenues of Rs. 27,000 Corers by 2020. One
estimate says that between 500 and 600 high-value consulting contracts, worth $250
million to $300 million, are awarded every year by Indian companies, including 30 or
40 projects worth over $2 million each.

However, they suffer from shortcomings, too. Among them are poor brand equity,
experience in foreign markets, ability to maintain quality, and low level of R&D. But
they can overcome these difficulties and emerge more powerful in the global scenario
if they adopt the best practices in the industry and improve their knowledge resources
and data warehousing.

C. STATE LEVEL SCENARIO OF CONSULTANCY

INDUSTRY
A lot of multi-nationals have made Gujarat their home in India, with the state leading
the charge with its Vibrant Gujarat campaigns in inviting foreign investors to set up
shop in Gujarat. Business consultants in Gujarat have thus geared up big time to
remain relevant in times of relentless competition in their business and to make full
use of the business opportunities that are all around in a booming economy. Business
consultants in Gujarat additionally enable customers to comprehend the investment
required for a specific initiative and the normal payback of that investment after some
time is the establishment of consulting model. In help of transformational guide,
Business consultants in Gujarat show a far reaching business case outline of
prescribed arrangements with a financial avocation demonstrate for every suggestion.
Business consultants in Gujarat assess the consequences of each new undertaking
using straightforward payback investigation or complex financial instrument-based
examination. Business consultants in Gujarat come on board in exchange for a
consultant fee will study market dynamics for you and assess the risk and rewards and
then advise the founders whether it would be prudent enough a practice to go for
diversification or not. Risk assessment and market research are the domain of
professionals of the same service, but some Business consultants in Gujarat the clients
more than a glimmer of the same, before the idea of a startup germinates and the
startup takes off the ground.

Gujarat is home to one of the largest and fastest cities in India in Gujarat which is not
just one of the most significant commerce centers in the state but in the entire country
whose fortunes have soared with fortunes of the former chief minister of Gujarat who
has gone on to become the Prime Minister of the country.

D. PESTEL ANALYSIS
 Political analysis
Business and management consulting in India has breached $11.5 billion or Rs.
73,800 corers in revenues this year, and is forecasted to register continuous
growth over the next few years as per new estimates. Business consulting is a
broad field, covering a spectrum of consulting activities including finance,
advisory, management, digitalisation, implementation and strategy, among others.

Among the liberalisation policies pursued by the Modi administration, perhaps the
most influential has been the significant increase in Foreign Direct
Investment (FDI) in the country. The opportunity for Multinational Cooperation’s
(MNCs) to invest in the Indian market simultaneously opened up opportunities for
strategic and financial advisory firms to help them integrate into the market
efficiently, thereby boosting growth in the consulting industry. Both local as well
as international consulting firms have benefitted from the expansion, as local
firms provide assistance to MNCs in India while large international advisories
help Indian firms integrate with the international market.

 Economic Analysis
India's population is young, with 54% under the age of 25 and 80% under 45 and
the percentage of working population is rising rapidly. The stage of the economy,
growth or decline in the economy, etc. would affect the financial services industry
at large. Economic indicates like the GDP, purchasing power parity, inflation, etc.
would determine the rates of interest in the economy which has a substantial
impact.
 Companies and firms should respond to new economic factors by approaching
strategic initiatives with fact-based insights, over speculation and historical best
practices. The constantly changing business dynamics and disruptive market
entrants create an unprecedented need for this type of insight.

 Socio-cultural Analysis
Social factors include the culture aspects and include health consciousness,
population growth rate age distribution, career attitudes and emphasis on safety.
Trends in social factors would affect the management consultancy services
industry. For example, an aging population may imply a smaller and less-willing
work-force, more rely on self-perception, etc. furthermore, and intermediaries in
the industry may have to change various management strategies to adapt to these
social trends.

 Technological Analysis
Customers have more control than ever, with higher expectations about quality,
responsible practices, and a version to inauthentic marketing and advertising.
They have the freedom to choose, the luxury of selecting the brands they want to
embrace and the ones they want to avoid. The impact of these choices changes the
way we view and interact with customers.

Disruptive product and service offerings including artificial intelligence and other
technology integrations are essential to the new consulting model. Digital
channels change the way companies reach and communicate with consumers.

 Legal Analysis
Legal factors affecting management consultancy industry are income and self-
employment taxes, sales tax on your fees, intellectual property, exclusive
license, liability insurance, registering business organization. These factors can
affect how consultancy firms operate, their costs, and the demand for the products
and services offered by them, laws relating to accounting standards, definitions,
incorporation rules, bankruptcy and transparency all have an impact on the
management consultancy industry.
 E. CURRENT TRENDS IN CONSULTING INDUSTRY
The consulting industry faces 2018 with digital transformation, technological
disruption and cultural shifts affecting it. Such change is influencing the way the
industry evolves. According to cited experts, the key trends below may develop in
the industry this year.

Digital agencies and consulting firms blur even further together the definition of
the term “consulting” continues to evolve. Consultants can come from
multinational billion-dollar companies or from an independent sole proprietorship.
Vast topics of expertise can be offered to a client or precisely niche services can be
provided by a consultant. Within this environment, digital agencies are
increasingly offering consulting services, and established consulting firms are
adding digital expertise to their offerings. An article in that consulting firms are
strongly challenging digital agencies because the firms are actively recruiting top
digital talent and even acquiring digital agencies. This cross specialization expands
the nature of what makes a “consultant” in 2018.

 Scope of what is considered “consulting” expands

In a poll of clients of consulting firms, run by RGP, they theorized that the
consulting industry may actually be made of “tiers.”  One type of tier is highly
skilled advisory with a proven reputation

and generally high fees. A second tier is specialty niche technology consulting
services that have precise price points. The third category includes highly skilled
niche experts that are hired to do precise projects. Again, this segmentation shows
how nebulous the term of “consultant” is becoming.

 Open-web content commodities knowledge and expertise

Because increasing amounts of Internet-based content is available to the public,
like best practices, guidelines and case studies, consulting “knowledge” and
“expertise” are more commoditized. Even the concept of “micro consulting” has
entered into the language of the consulting industry.  This concept involves an
expert engaging in short, targeted projects for clients as opposed to months-long
work by a team of consultants.
 Demand grows for performance-based billing models
Repercussions of the 2008 recession still permeate the thinking of many clients,
and the pay structures of some consultancies are being affected. Since many
clients now have the technological capability to slice and dice every expense, they
are analysing spending on consulting and examining the return on its investment.

 Consulting firms and individual experts crowd source together

Similar to the freelance trend, the consulting industry is also availing itself of
talent from external sources. Consultancy.uk described the crowdsourcing trend as
becoming very common among consultancies. It is difficult to have every needed
expertise that a client desires, so firms are often working with specialty companies
and experts outside of the consultancy.

Overall, 2018 may be the year of “more”: more professionals defining themselves
as consultants, more collaboration between consultants and consulting firms and
more accountability for the outcome of anything called “consulting”

F. MAJOR PLAYERS IN THE CONSULTING INDUSTRY

 Value Coders
As an IT consulting firm, Value Coders offers a blend of data mining, technology
knowledge, and analytical tools to help you create and transform apps, processes
and operations in line with the unique possibilities. Our IT consulting services
help you focus on what you really need and simultaneously align operational
technology, and financial objectives.

 McKinsey & Company

McKinsey & Company is a world-renowned management consultant firm. The
company is based in America and was founded 92 years ago in 1926 by James O
McKinsey and Marvin Bower. The company provides its service worldwide. Its
headquarters is located in New York City with 127 offices spread across the
world. It has a network of more than 27,000 employees making it a billion dollar
company with revenue of more than 10 Billion!  It follows a strict culture of work
and ethics
with highly motivated and zealous employees. The company values traits like
loyalty, integrity, and dynamism.
 Boston Consulting Group
Boston Consulting Group, Inc, also known as BCG. It is a privately incorporated
management consulting firm. It was founded by Bruce Henderson in the year
1963. The company has revenue of $7.5 Billion as of 2018 with more than 90
offices at different locations across the world. It has more than 16,000 employees
working worldwide. BCG was ranked 4th in Fortune's list of "100 Best
Companies to Work For" in 2018.
 Accenture
Accenture is a globally accredited consulting firm renowned for management
consulting and provides professional services like strategy, consulting, digital,
technology and operations. It was founded in 1989. Formerly known as Anderson
Consulting, the company was incorporated in Dublin, Ireland on September 1,
2009. Accenture generated revenue of US$39.4 Billion as of 2018 and has a
workforce of 459,000 employees in more than 200 cities across the globe. The
company also has a number of awards and recognition in its name.
 Arshiya International Limited
The Company is a flagship company of the Arshiya Group and has its
headquarters in India. Known for having multinational operations in supply chain
management and logistics, the company deserves a mention for its accorded
status. Deloitte- Whether you are looking for a rewarding career or great services,
Deloitte offers an array of possibilities. In the US, Deloitte LLP as well as its
subsidiaries has over 45,000 professionals with one focus, i.e. to serve their clients
and help them solve their challenging problems.

G. MAJOR OFFERINGS BY THE CONSULTING INDUSTRY

 Operational performance improvement
Performance improvement is measuring the output of a particular business
process or procedure, then modifying the process or procedure to increase the
output, increase efficiency, or increase the effectiveness of the process or
procedure.

 Financial restructuring
It is the process of reshuffling or reorganizing the financial structure, which
primarily comprises of equity capital and debt capital.
 Change Management
Change management is the process, tools and techniques to manage the people
side of change to achieve the required business outcome.
 Project management
Project management is the application of knowledge, skills, tools and techniques
to project activities to meet project requirements.

 Corporate finance/restructuring
Corporate financial restructuring is any substantial change in a company's
financial structure, or ownership or control, or business portfolio, designed to
increase the value of the firm.

 Economic consulting
Economic consulting is the practice of providing organizations in the public and
private sector with information to improve their performance and policies,
primarily through the use of applied economics, mathematical economics,
economic impact analysis, and forecasting across a broad spectrum of issues.

 Brand & Marketing Management

Brand management is the analysis and planning on how that brand is perceived in
the market. Developing a good relationship with the target market is essential
for brand management. Tangible elements of brand management include the
product itself; look, price, the packaging, etc.

 Franchising
It is the arrangement where one party (the franchiser) grants another party (the
franchisee) the right to use its trademark or trade-name as well as certain business
systems and processes, to produce and market a good or service according to
certain specifications.

 Real Estate Management

Property management is the operation, control, and oversight of real estate as
used in its most broad terms. Management indicates a need to be cared for,
monitored and accountability given for its useful life and condition.
Company Profile
 A. COMPANY PROFILE

Franchise Insider is a convergent enterprise between Brands, Space and Investors.

The company has developed a unique business model which helps to develop assets
of the organization in systematic formats. Playing the role of thriving assets advisor,
the company concentrates on managing assets in an innovative way. They have
developed a network of investors and brands who wish to expand on their franchise at
various locations.

The company offers end-to-end project management service to upgrade the asset’s
value of the client. As a major entity in the domains of Asset Development, Franchise
Consulting, Rental properties, Leasing Management, etc. the company is also a
reliable shopping centre specialist enlarging noteworthy outcomes.

 Vision
To lead franchising and leasing sector by providing top class quality support
services by becoming a real solution and growth partners.

 Mission
To be recognized evidently as a world-class steward by guiding the investors to
invest their capital in the right direction with their specialized franchising and
leasing solution and empower them to accomplish their dreams and goals.
 Core Values
 Keeping customer’s interest foremost.
  Acting morally and ethically to attain and retain the trust of clients.
 Legitimate and open communications.
 Achieving service excellence by bestowing tactical solutions and quality
services.
 Delivering what promised within the stipulated time.

 Uniqueness
 Revenue optimization
Monetization and revenue optimization solutions for their clients to realize
maximum value from their retail and retail-based or mixed-use real estate
assets.

 Customized project development Exclusive and customized project

development for creating value of commercial, retail and retail-based mixe use
projects.

 Key person
1) Mr Dhinal Baxi – Founder
The founder having a multi-facet personality is an expert in Financial
Management, Concept development, Strategy formulation and ROI
calculation. He develops strategies for project, financials and projections. He
recruits and provides training to the teammates as and when required and also
draft a road map for the enterprise and form future Business plans as well.

2) Mr Sameer Desai- co Founder

Another key personnel and the co-founder of the enterprise takes the business
to the monotony of a corporate life. He plays a crucial role in developing
Network, sales development, and seeks new arenas of business opportunities.
He Fosters a pool of prospect looking for expansion that can be helped and
guided by the enterprise
 B. ORGANOGRAM OF FRANCHISE INSIDER

(figur no : 3.1)

C. DEPARTMENT STUDY

1. Research & Development

With careful in detail research and analysis, Franchise insider boosts the
franchise development projects. The team of highly skilled professionals
enables to drive-in constructive measures by applying unique strategies. The
team specialize in producing remarkable project analysis and turnkey tactics to
achieve Return on Investment (ROI). Thorough analysis is made based on the
research of accurate demographics, socioeconomic and market trends. Pacing
with the current trends and analysing competition, the company provide
unique plans to raise perfect combination and help clients to save time with
speedy property analysis.

2. Marketing Department
 Product
 Property Management
They provide cutting-edge techniques to improve client’s productive
objective. The approach to property management results in capitalizing on the
 revenue stream. The Franchise Insider team of dynamic experts brings out new
and splendid measures. They develop effective tactics

right from concept development to branding. Agents bring out the best
available brands on leasing to landlords.

 Leasing
They offer an array of customized leasing and rental solutions. They
understand clients’ brand with a complete in-depth analysis of their Business
Model.
Leasing Portfolio Comprise
 Hospitality Leasing
 Entertainment Venues
 Franchise Development Services
 New Franchise Development or Corporate Leasing
 Franchise Expansion for the new upcoming brands
 Buying a Franchise for new investor/entrepreneurs

 Price

Fees Structure
Joining Fees (On time cost) Franchise module
Financials and ROI calculations
Brand presentation
LOI format and agreement
Promotion Cost (per month) SMS
Social media campaign
E-mails
E-magazines
Blogs
WhatsApp shares
Closure Fees 25% of franchise or 60,000 whichever is
higher
(table no: 3.1)

The joining fee is one-time as it includes strategy and franchise module formation
which depend upon the type of business-like home-based business or master
franchise. The promotion cost is charged to both new and existing clients. There are 4
or 5 plans for promotion cost which depend upon reach and frequency.

They charge service fees from franchisor and consultancy fees from franchisee. The
fee from franchisee is comparatively lower than franchisor’s fees.

 Place
They follow direct selling strategy i.e. no intermediaries between company and
client for direct interaction with client to understand their needs and discussion on
several aspects such as investments, location, franchisor policies, etc.

 Promotion
They use several tools of promotion such as,
 Social media (Franchise insider page on Facebook and Instagram)
 SMS
 Mails
 Seminars (Franchise talk)
 Associated with Business Network International (BNI)

 People
It involves Managing Directors of the company having good experience in
financial and real estate sector, leasing head having expertise in mall management
and leasing, marketing and sales tea.

 Process
 Franchising
Figure No: 3.2
Figure Name: Process of Franchising
 Lead Franchise Offer
Site Selection
Generation Document

Calling Letter of Intent Store Opening

Prospect Lead Closure

 Project Management

Figure No: 3.3

Figure Name: Project Management process

Stabilizati Master
Analysis Reposition
on Planning

3. Human Resource Department

There is no separate department for Human Resource functions. All the functions
of Human Resource Management are performed by Managing Directors of the
company. Existing employees train the newly hired employees on the job.

4. Accounting and Finance Department

There is no separate department for Accounting and Finance related activities.
The basics are handled by leasing department head. And Chartered Accountant
is appointed for the accounting.
D. SWOT ANALYSIS

 Strengths
 Franchise Insider involves in two different businesses i.e. franchise
development and space leasing & management which is a rare
combination.
 Detailed research and analysis is conducted based on demographics,
socioeconomic and market trends to boost the asset and franchise
development projects. The team specialize in producing remarkable
project analysis and turnkey tactics to achieve Return on Investment
(ROI).
 The company is having offices in 2 business class cities i.e. Ahmedabad &
Surat. So they can cover wide area of Gujarat.
 Strong background and experience of the founder and co-founder in
financial and real estate sector which is the reason for success of the
company.
 Associated with various national and international networking platforms
like Business Network International which build relations with numbers of
businesses.

 Weaknesses
 The services provided are complex and long and very time-consuming.
 It gets difficult to make right choice of location site.
 Not providing service outside the Gujarat so it is a weak point for the
company.

 Opportunities
 In India, only 10% of businesses are franchised so chances of getting more
opportunities.
 There are few numbers of consultants in the industry.
 Many international brands looking to expand in India and local businesses
are going towards organized model.
 For properties it becomes a need to be organized.
 Threats
 Increasing competition in the industry.
 Investors directly approach with franchisor.
 No regulatory body in the industry.
 Disputes between franchisor and franchisee.

E. MARKET POSITION

 There are very few franchise consultants in Gujarat and Franchise Insider is
one of them.
 The Company started in 2017 and is progressing rapidly. At initial phase there
is only one company, the name was BRANDS N SPACES and now they have
venture 2 more company under the same. Franchise Insider is one of them.
 They are mainly focusing on western part of India i.e. Mumbai and Gujarat.
They have enrolled more than 255 brands till 2019 and hope to cover 1000
brands nearby 2020.
 With Franchise Consultancy they have also started 2 Highway Food Court
near Navsari and Rajkot. They are giving different brands outlet on leasing.
Review of literature

Musmedi & adi prasodjo (2018) investigated the aim to analyze and to describe the
franchisor behavior, to analyses the factor that was effect expand business of food
franchisee. they mention the performance level of food franchise business to create
good image in the eye of local brand owner in market and satisfied the level of owner
expectation.
 Grover & beck (2018) identify in try to evaluate small business account in us
researcher consider the positive and negative perception small fast food restaurant
with the help of E-learning online training to support the event of the problem.

Machackova (2016) examine in this study empirical research quantity result and also
show and evaluate the perception of local owners to explore the creativity in
franchisee business. Researcher focused to conduct more innovative process to
improve the image.

Suryan & afiff (2016) identify that franchisor’s brand image in B2B context, they
more focused and give importance of brand image of owner. They play important role
in franchising food business and also include franchisor-franchisee relation which was
give strong contribution to build owner trust.

Visser (2015) examine that the perception of owner to give guidance the success of
quick franchisee out late give more importance of business strategy to success of
performance. They assist entrepreneur to ignore and avoid challenges to starting the
business of food franchisee.

In further studies, olabanji (2014) examine that the to explore the factor that effect to
fulfil the choice of franchise food and evaluate business model to established and
increase the business of food franchise, they also focused to understand the
managerial requirement of local owner that they perceived.

Aloie (2013) investigated the highest income of owners are contributing more in fast
food as its was mention in the west and more frequency of restaurant as compare to
law income of neighborhood owner and identify owners preference.

Shatalov (2013) identify to focus on the concept that determine to understand the
local brand owner’s propensity in food franchiser, they examine a more detail to
analyses optimal utilization of franchisee outlets risk as well as risk of brand owners
to adopt franchise business.

Ganzaler-diaz & solis rodriguez (2012) investigated perception of franchisor as well

as franchisee they specially give more importance of brand name and also specified
brand image, they conduct store opening strategy, visiting, merchandises, range
review, marketing, advertising etc
Wrapp’s (2008) identify that they have kept food donated by retail through the
process of expanding relationship of franchisor and franchise in business to create
safe and efficient way, they have estimate 40% production of food by human
consumption.

Mathew shay (2008), investigated perception of franchisee to better understand the

process and benefit of franchisee that they think about franchisee to tackled the
problem and changed franchising industry.

Shelton (1967), examine to conducted and discovered that the performance of

franchised stores company -owned store, the owner of company ‘sown stores offer
high salary to expand franchisee stores, the higher motivation of franchisee as
compare to local brand is more advantage to franchisor.

Zikamunds & babin (2007) examine A franchisee in retail food industry which was
selected on the basis of owner’s convenience and positive interaction between both
the parties (franchisor and franchisee) to explore the consultancy business of food
franchisee.

kaufmann & Stanworth (1998),investigated to conduct decision to purchase a

franchise in food business they showed that the empirical study of perception of
owners towards franchise business under the study more predict to perceived the level
of profit to adopt franchise business proposal.

Morgan and hunt (1994) examine that the level of owner satisfaction towards food
franchise business. In their study research saw the comment of purchasing franchise
and owner’s agreement Regarding dealing of food franchisee and they also mention
reason behind dissatisfaction of owners to start up a franchisee business.

Carney & gedajlovic (1991) identify the trend of franchisors to free-ride to determine
franchisees who have no money to cut the quantity, free-riding mention pervasive
problem of franchisee.

Caves & murphy (1987), in their study researcher explain that agreement of
franchisee business to expand the food industry they mention advantage of franchise
that can be collect where system of business franchisee development successfully.
Zeiclman & lawell (1986), examine that in their study level of performance of both
the franchisor as well as franchisee to improve the perspective in the context of profit
towards food franchisee.

Another study Lill’s nariyal & gilman (1976), investigated to mention used a
franchisee life cycle approach to estimate and evaluate the franchises of food industry,
the author of this study suggests New and creative advantage of distribution franchise
system.
 RESEARCH
METHODOLOGY

 Problem statement
 To contribute to the success of franchise, it is necessary to ensure that all the
owners are satisfied with performance of franchisor in the context of
relationship, while also determine the area of satisfaction that the franchise
experiment. So, it is very important to study the positive and negative
perception of brand owners towards expanding food franchise business to know
the level of satisfaction brand owners regarding food franchise business.
Without understanding this concept, it becomes very difficult to expand the
food franchise sector. So, it is important to undertake study of perception of
brand owners towards food franchise business in Surat city.

 Research objective
 To understand the views of brand owners towards food franchise business.
 To determine the preference of brand owners towards food franchise business.
 To know the perception of brand owners towards opportunity of food
franchise business.

 Research Design
A research design is the set of methodology and procedure used in collection and
analysing measure of the variables specified in the problem research.

 Types of design
In this research study descriptive research design was used to understand the
perception of brand owners toward expanding food franchise business.

 Sampling
 Sampling frame
All food business owners in Surat city.

 Sampling method

Non- Probability Sampling Method (Convenience Sampling) is used.

 Sample size

104 samples were taken as part of study.

 Sample area
Area – Surat City.
 Data collection
 primary data collection

The study on perception of brand owners is based on primary data method which was
fully reliable data are collected. Information was gathered by proper survey in Surat
city through questionnaire. The survey was done by going to respondent by
personally and getting data and information.

 Secondary data collection

To know the information about current trend of market in food franchise business
through internet, articles are used

 Data collection method

Structured Questionnaire was used for collecting data.
 Tools of analysis
SPSS and MS Excel are the tools used for this analysis of study.
 Statistical techniques
Kruskal Wallis test and chi-square test are applied
 Benefits of study
This study will help the franchise consultant to know the perception of owners to
expand the food business through franchise and also determine the issues like
financial related, profit sharing issues, cost related issues after knowing this issues
the franchise insider company will overcome the negative factor regarding
perception of brand owner and increase the growth of franchise business
.this study will help company to formulating their strategy for their client.
 Limitation of study
 This study only based on Surat city.so the interpretation this study not
applicable in universally
 This study only focused on perception of brand owner toward food franchise
sector, other sector are not included in this study.

 As our respondents are business owners so it might possible that they had not
answered accurately because of their busy schedule.
Data Analysis &
Interpretation
 Qualification
Particular Frequenc Percent Valid Cumulative
y Percent Percent
Schooling 41 39.4 39.4 39.4
Graduation 38 36.5 36.5 76.0
post-
25 24.0 24.0 100.0
graduation
Total 104 100.0 100.0
(Table of qualification) (6.1)

24%

39% schooling
graduation
post-graduation

37%

(Figure Name - qualification 6.1)

Interpretation:
Frome the above table(6.1),it can be interpreted that 39% owners are under graduate,37%
owners are graduate and 24% owners are post-graduate.

Zone

Particular Frequenc Percent Valid Cumulative

Q1) Do you feel the need for the consultant to become a
food franchiser?

Particular Frequenc Percent Valid Cumulative

y Percent Percent
Yes 43 41.3 41.3 41.3
No 19 18.3 18.3 59.6
can't
42 40.4 40.4 100.0
say
Total 104 100.0 100.0
(Table of Consultant of food business) (6.3)

40% 41% yes

no
can't say

18%

(Figure Name – consultant of food business 6.3)

Interpretation:
From the above table (6.3), it can be interpreted that the 41% owners are feel need
for the consultant to become a food franchiser,18% owners are not feel to go on
consultant of food franchise and 41% are not sure for go on to start a business of food
franchise business.

Q2) How do you see the business opportunity in organised food

franchise business?

Frequenc Percent Valid Cumulative

y Percent Percent
Excellen
25 24.0 24.0 24.0
t
Good 29 27.9 27.9 51.9
Valid
Average 26 25.0 25.0 76.9
Not sure 24 23.1 23.1 100.0
Total 104 100.0 100.0
(Table of business opportunity) (6.4)

23% 24%
excellent
good
average
not sure
25%
28%

(Figure Name – business opportunity6.4)

Interpretation:
From the above table (6.4), it can be interpreted that 28% owner of food business are
see the business opportunity in food franchisee business is excellent and 23% owners
of food business are not sure for the business opportunity in food franchisee.

Q3) Would you like to open your " Brand " outlet
food franchise business?

Frequenc Percent Valid Cumulative

y Percent Percent
Yes 77 74.0 74.0 74.0
Valid No 27 26.0 26.0 100.0
Total 104 100.0 100.0
(Table of brand outlet) (6.5)

26%

yes
no

74%

(Figure Name – brand outlet 6.5)

Interpretation:
From the above table (6.5), it can be interpreted that 74% owners of food business
are like to open the brand outlet of food franchisee business and 26% owners of food
business are not like to open the franchisee outlet.
Q2) How do you see the business opportunity in organised food
franchise business?
Objective: To know the perception of brand owners towards opportunity of food
franchise business.

Chi-Square Tests

The Chi-square test is intended to test how likely it is that an observed distribution is

due to chance. It is also called a "goodness of fit" statistic, because it measures how
well the observed distribution of data fits with the distribution that is expected if the
variables are independent.

Chi-square test between zone and the business opportunity in organized food
franchise business.
Hypothesis
Ho: There is no significant association between the selected zones and business
opportunity in organized food franchise business.
H1: There is significant association between the selected zones and business
opportunity in organized food franchise business.

Zone Total
East West North South Central
Excelle
3 3 4 8 7 25
nt
How do you see the business Good 8 7 5 4 5 29
opportunity in organised food Averag
4 3 5 8 6 26
franchise business? e
Not
2 5 4 10 3 24
sure
Total 17 18 18 30 21 104
(Table of zone and opportunity of owner) (6.6)
 Value df Asymp. Sig. (2-
sided)
a
Pearson Chi-Square 10.890 12 .538
Likelihood Ratio 11.171 12 .514
Linear-by-Linear
.001 1 .970
Association
N of Valid Cases 104
Chi-square test

Interpretation:
From the above table (6.6) of chi-square is 0.538 which is higher than 0.05 so Ho is
fail to reject. So, there is no significant association between the selected zones and
business opportunity in organized food franchise business.
Q4) following are the statement that gives your view towards food franchise
business (rate your level of agreement; where 5=strongly agree and 1=strongly
dis agree)
Objective: To understand the views of brand owners towards food franchise business.

Kruskal - Wallis test between qualification and views of owners towards food
franchise business.

H0: There is no significance relationship between views of owners to food franchise

business and qualification.

H1: There is significance relationship between views of owners to food franchise

business and qualification.

Rank
Particular Qualification N Mean Rank
schooling 41 49.41
fast way to expand Graduation 38 58.57
business. post-graduation 25 48.34
Total 104
schooling 41 60.38
Graduation 38 41.05
Easy to get finance
post-graduation 25 56.98
Total 104
schooling 41 44.21
Difficult to manage Graduation 38 55.03
franchise business post-graduation 25 62.26
Total 104
schooling 41 52.40
Graduation 38 44.39
Easy to set up business
post-graduation 25 64.98
Total 104
schooling 41 48.51
Graduation 38 56.38
Easy to grow the business
post-graduation 25 53.14
Total 104
schooling 41 48.17
Easy to supervise the Graduation 38 61.86
business post-graduation 25 45.38
Total 104
schooling 41 50.62
 Graduation 38 57.36
Success rate would not be
post-graduation 25 48.20
high
Total 104
schooling 41 62.37
Bad performance of one
Graduation 38 42.32
unit will affect the image
post-graduation 25 51.80
of other unit
Total 104

Test Statistics
fast way Easy to Difficult Easy to Easy to Easy to Success Bad
to expand get to set up grow the supervise rate performa
business. finance manage business business th business would not nce of one
franchise be high unit will
business affect the
image of
other unit
Chi-
Squa 3.431 9.642 6.529 7.692 1.518 6.430 1.817 9.695
re
Df 2 2 2 2 2 2 2 2

Asym
p. .180 .008 .038 .021 .468 .040 .403 .008
Sig.

(table of qualification and views of owners) (6.7)

Interpretation:
From the above table (6.7), Kruskal Wallis test revealed that the P value of most of
the statements are less than the 0.05. Thus, we fail to accept H0. Hence it can be
interpreted that there is significance impact between views of owner to food franchise
business and qualification.
Q5 following are the statements that gives your preference towards food
franchise business (rate your level of agreement where 5=most important and 1 =
least important)

Objective: To determine the preference of brand owners towards food franchise

business.

Kruskal-Wallis Test
Kruskal - Wallis test between qualification and preference of owners towards food
franchise business.

H0: There is no significance relationship between qualification and preferences of

owner toward food franchise business

H1: There is significance relationship between qualification and preferences of owner

toward food franchise business

Ranks
Qualification N Mean Rank
schooling 41 50.83
It has high chance of Graduation 38 51.42
business to grow post-graduation 25 56.88
Total 104
schooling 41 55.12
It become easy to expand Graduation 38 52.29
the business post-graduation 25 48.52
Total 104
schooling 41 48.85
Graduation 37 53.59
It has high rate of success
post-graduation 25 54.80
Total 103
schooling 41 57.06
Graduation 38 53.67
It has high risk of piracy
post-graduation 25 43.24
Total 104
schooling 41 46.52
it is more profitable than Graduation 38 56.08
independent business post-graduation 25 56.86
Total 104
 Test Statistics
It has high It become easy It has high rate It has high risk it is more
chance of to expand the of success of piracy profitable than
business to business independent
grow business
Chi-Square .904 .824 .879 3.634 2.983
df 2 2 2 2 2
Asymp. Sig. .636 .662 .644 .163 .225
(table of qualification and preference of owners) (6.8)

Interpretation:
From the above table (6.8), Kruskal Wallis test revealed that the P value of most of
the statements are greater than 0.05. Thus, fail to reject H0. Hence it can be
interpreted that there is no significance impact in qualification and preference of
owners toward food franchise business.
 Finding &
Conclusion

 On the basis of frequency analysis, it was found that 39%of the food owner
are under- graduate and 24%number of owners are post – graduate.
 On the basis of frequency analysis, it was found that the highest food business
is in south 29% and lowest food business is in north17%.
 On the basis of analysis, it was found that the 41% of the owner need for the
consultant to become expand business and 18% owners are not ready to go on
franchise business.
 Form the frequency analysis it was found that 28% owner of food business are
see the business opportunity in food franchisee business is excellent and 23%
owners of food business are not sure for the business opportunity in food
franchisee.
 On the basis of study 74% owners of food business are like to open the brand
outlet of food franchisee business and 26% owners of food business are not
like to open the franchisee outlet.
 From the analysis of chi-square test is resulted 0.538 which is above the 0.05
so there is no significant association between the selected zones and business
opportunity in organized food franchise business.
 Because of most of the statements are less than the 0.05. Thus, null
hypothesis rejected and alternative hypothesis accepted. Hence it can be
interpreted that there is significance impact between views of owner to food
franchise business and qualification.
 Kruskal Wallis test revealed that the P value of the statements .636, .662, .
644 ,.163 .225 are greater than 0.05. Thus, fail to reject H0. Hence it can be
interpreted that there is no significance impact in qualification and preference
of owners toward food franchise business.

Conclusion
It is concluded from this research is positive and negative both factors are
influencing owners perception towards the food franchise business most of the
owners are need for the consultant to become expand business and most of the
owner also see the good opportunity to open their brand through franchise but
they are not much aware about process of franchisee rule and regulation most
of the owners views positive rating fast way to expand their business ,easy to
get finance and some of owners views negative to not easy setup business and
difficult to manage franchise business. Some brand owners of food businesses
are not ready to expand their business through franchise model because of
their traditional mind set like don’t want to share profit and don’t have trust on
franchisees. Some are confused to go on franchise. The preference of owners
is mostly to get it high rate of success, more profitable business.
Recommendations

 Generally, some business owners have a wrong mind-set because don’t feel
need of consultant or they don’t have a proper knowledge regarding franchise
model. So, in future if we want spread awareness regarding the franchise
model so we should organise a seminar, talk show and some other marketing
activities.
 This research will help to understand the perception of brand owners toward
expanding food franchise business. Which positive and negative views of
owners for the franchise business. It will help to found to know the weakness
and negative thought of owners regarding franchise so, it will help to reduce
the negative perception owners and expand franchise image.
 This research shows the overall mind set of the business owners towards the
food franchise business. Franchisor need proper knowledge and planning for
franchise their business and for it they may hire professional franchise
consultant for it and increase awareness in market.
 As a becoming franchisor the owner want all the benefits like a growth of the
brand, easy expansion by investing big capital, economise of the scale, access
to better talent, not sharing profit etc so by this point we can understand that
how to attract them for the franchise business.
 Bibliography

Bibliography
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Websites:-
 Meaning of perception and opportunity of food franchise in Surat
 https://en.wikipedia.org/wiki/Perception
sshttps://www.smergers.com/businesses/food-beverage-franchise-opportunities-in-
surat/s1500/c6/t11/

 Definition of franchise business (Saturday, May 25, 2019)

https://smallbusiness.chron.com/definition-franchise-business-4467.html

 Overview of Franchise (Saturday, May 25, 2019)

https://projecthelpline.in/myblog/mba-marketing-project-report-sample/

 Industry profile Global level scenario (Friday, May 24, 2019)

https://www.openbusinesscouncil.org/consulting-industry-market-research/

 Industry profile National level scenario (Friday, May 24, 2019)

http://www.careerizma.com/industries/consulting/

 Current trends in Industry (Friday, May 24, 2019)

https://www.infodesk.com/consulting-industry/key-trends-in-2018-for-the-consulting-
industry/

 Major Players in Industry (Friday, May 24, 2019)

https://www.mim-essay.com/top-consulting-firms-in-the-world/
 Company Profile (Thursday, May 23, 2019)
http://www.brandsnspaces.com/ /’
}[
http://www.brandsnspaces.com/franchise-inquiry/ s

 . ww.brandsnspaces.com
 www.scholar.google.co.in
 www.search.ebscohost.com
 www.researchgate.net
 Annexure

Questionnaire
I Vandana Tiwari currently pursuing MBA from S. R. Luthra Institute of
Management, Surat affiliated to Gujarat Technological University. As a part of my
studies I am conducting a survey on “A Study On Perception Of Brand Owners
Towards Expanding Food Franchise Business In Surat City”. I would be obliged
if you spare few minutes from your very busy schedule to fill up this questionnaire. I
assure you that the response given by you will be kept strictly confidential and will be
used for academic purpose only.

Demographic Details:

Owners Name - _____________________________

Brand Name - _____________________________

Contact Number - _____________________________

E-mail ID - _____________________________

Qualification-

Schooling

graduation

Post-graduation

Zone-

East

West

North

south

central

1) Do you feel the need for the consultant to become a food franchisor?
 Yes No Can’t say
2) How do you see the business opportunity in organise food franchise business?

Excellent
Good
Average
Not Sure
3)Would you like to open your “Brand” Outlet food franchise business?

Yes No

4) Following are the statements that gives your views towards food franchise
business (Rate your level of agreement; where 5 = strongly agree and 1 =
strongly dis-agree)

Statements Level of agreement

1 2 3 4 5
Fast way to expand business.
Easy to get finance.
Difficult to manage franchise business.
Easy to set up business.
Easy to grow the business.
Easy to supervise the business.
Success rate would not be high.
Bad performance of one unit will affect
the
image of other units.

5) Following are the statements that gives your preference towards food
franchise business (Rate your level of agreement; where 5 = most important and
1 = least important)

Statements Level of agreement

1 2 3 4 5
It has high chances of business to grow.
It becomes easy to expand the business.
It has high rate of success.
It has high risk of piracy.
It is more profitable than independent
business.