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Franchising as a Potential Growth Strategy for a Small Business : A Case of Sam-Chi Fast Food Restaurant

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Franchising as a Potential Growth Strategy for a Small Business : A Case of Sam-Chi Fast Food Restaurant

The purpose of this study was to find out whether Sam-Chi fast food restaurant can grow through franchising as well as to give the owners recommendations on how to effectively adopt the franchising business model as a means to grow their business. Sam-Chi restaurant is situated in Lagos, Nigeria and the restaurant is owned and operated by Samuel Okore and his wife Chichi Okore. The theoretical framework of this research is separated into two sections. The first section covers the growth of a business and what entrepreneurs should know about growth in general. The second section describes in detail what the franchis-ing business concept is and how it can be effectively adopted by an entrepreneur as a growth strategy. The franchising concept was viewed from a franchisors perspective. The qualitative research method was used in this thesis and the data was collected through interviews. The owners of Sam-Chi fast food restaurant were the first to be interviewed followed by two of their employees. Five customers of Sam-Chi restaurant were also interviewed and all the interviews were conducted separately except for the one of Sam-Chi couple. The results of this study revealed that Sam-Chi fast food restaurant cannot currently grow through franchising because the restaurant does not have some of the requirements a company needs to be franchised. However, the restaurant has the possibility to grow through franchising in the future if these requirements are met. The future of Sam-Chi fast food restaurant is very promising because the restaurant has some of the key success factors of global fast food brands that have been franchised. Recommendations have been given to the owners of Sam-Chi restaurant on how they can prepare their restaurant for growth through franchising.

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