CreatripTeam

The Fair Trade Commission in South Korea has announced plans to strengthen franchise store owners' rights by allowing them to legally negotiate with franchise headquarters. This move has caused concern in the franchise industry, fearing a loss of brand control and profitability due to collective bargaining rights for store owners. Key points include the potential weakening of brand consistency and risks associated with collective actions from owner groups. The industry is worried that changes in the business model might impact their operations significantly, particularly affecting profit margins and the balance between franchise headquarters and store owners.