Motivational factors driving franchise entrepreneurship: an empirical investigation

This paper investigates the determinants that lead entrepreneurs to choose franchise businesses over independent businesses in India. This study focused exclusively on intrinsic motivation and innovation to determine how these variables influence the entrepreneur's choice. Employing a descriptive research design, the paper collected data through structured questionnaires administered to franchisees and independent business owners. The results revealed that personal, social, and economic factors significantly influence Indians to choose franchising over independent businesses and that innovation does not significantly impact the decision, although intrinsic motivation does. Our findings lead to the conclusion that while franchising structured approach, support, and reduced risk for failure may restrict the extent of desired innovation relative to independent ventures, potential franchisees who cannot be evaluated by a franchisor based on their intrinsic motivation may consciously seek to convey this motivation to the franchisor by excelling in relatively more intrinsically motivating signals.