A Study on Exploring a Business Model in the Coffee Franchise Industry

This study was conducted on the search for a new business model that recognizes the problems that arise between the franchise headquarters and franchisees in the process of growing the coffee franchise market which uses a specific brand's name or management know-how at a price and solves them. The detailed purpose of this study's business model exploration is to propose a new business model that proposing mutually beneficial value to franchisees, figuring out how to deliver this value, and which profit model can maximize the company's profits. As a research method to explore the business model, Two business model development methodologies and an interview survey with industry-related workers were used. The development method of this study can be summarized as follows. Firstly, Defined the nine elements which are necessary for business model execution by creating Osterwalder's business model canvas. Secondly, based on Oliver Gasman's business model navigator methodology; the principle of similarity and the opposition, three new business models using the ideas of heterogeneous industries are proposed. Lastly, through in-depth interviews with industry workers, presented opinions that could support the analysis of the current situation and the feasibility of the business model. The franchise business model was tested for performance in terms of minimum viable product (MVP). The franchise business model presented in this study is a triple flywheel model that developed Jeff-Bezos' double flywheel model to fit the franchise market, and it was developed as a conceptual model of system-dynamics.