Case Study Example | Topics and Well Written Essays - 1250 words - 2

Case Study Example Apart from advising the franchisees about how to promote the outlets in their respective areas and the local market, McFadden can take other steps to encourage the franchisees to promote their outlets like he can provide additional funds for promotions and also can provide some incentives and rewards for those franchisees who perform better in promoting the outlets in the local market. McFadden should analyse the franchisability properly before making any decision. Determining franchisability means to asses that whether the business is worth franchisable that means the entrepreneur must determine that whether the business is profitable or not, whether the business model can be easily copied by the competitor, does the business model can be easily adopted by the competitors, is the business model has any unique feather which is different from the others etc (Shakespeare, 1995, p.90). As the competitors are able to copy the business model of McFadden therefore it is clear that the franchisability was not properly analysed as a result the competitor can imitate it. To control the situation, first of all Just Cuts should restructure the business model in such a way which will be difficult to copy. In response to the imitators, Just Cuts can bring innovation in its services in terms of enhanced quality and customer satisfaction. Some of these things have already been d one by the management of Just Cuts. Apart from this, Just cuts should change their policies regarding the services it offers so that the competitors cannot always imitate the policies. Just Cuts can also go for branding its products so that the customers can distinguish the services from those of the imitators. Good branding will also reduce the anxiety of the franchisees regarding the low cost service providers because branded services always finds its place in the market. Deciding on the franchising fee is an important aspect of franchising. Some franchisees require less funds