Email this article 
Hide
Show all
Original Research
Modelling effect of valuable resources on franchise outlet performance: Dynamic sensing capability as mediator
Submitted: 23 July 2018 | Published: 09 July 2019
About the author(s)
Jilson Zimuto, Department of Business Management, University of Pretoria, Pretoria, South AfricaRachel Maritz, Department of Business Management, University of Pretoria, Pretoria, South Africa
Abstract
Background: Competitive advantage and superior firm performance depend on resources and dynamic capabilities.
Aim: This study aims to provide insight into the franchising industry where research on the value-dynamic sensing capability-performance relationship as part of the resource-based theory (RBT) seems to be novel. Drawing on the RBT, this study examines how valuable resources and dynamic sensing capability impact franchise outlet performance.
Setting: Based on a cross-sectional design, a sample of 224 South African franchise outlet managers and owner-operators in the fast food and retailing categories was surveyed.
Methods: Hypotheses were tested using a single-level structural equation model for value, dynamic sensing capability and performance.
Results: The results contribute to research on RBT in the context of franchises by providing support for the assumption that firm resources and capabilities improve performance.
Conclusion: The findings are expected to provide a strong base from which franchise managers and owner-operators can strategise for competitive advantage in an emerging economy like South Africa.
Keywords
Metrics
Total abstract views: 2823Total article views: 4361
Crossref Citations
1. Franchise capabilities and system performance: A configurational perspective
Frédéric Perdreau, Anne-Laure Le Nadant, Nabil Khelil
Industrial Marketing Management vol: 113 first page: 326 year: 2023
doi: 10.1016/j.indmarman.2023.07.004