Do you want to continue? The effect of communication and knowledge sharing on franchisee’s intention to continue

Purpose This study aims to explore the key factors that contribute to building sustainable franchising partnerships. Anchored in social exchange theory, it proposes that in the Chinese context, communication and knowledge sharing influence franchisees’ willingness to continue cooperation through cognitive and affective trust. Additionally, it explores how entrepreneurial leadership in hotel general managers enhances these effects. Design/methodology/approach Data were collected from 313 franchisees in China using a survey approach. Hypotheses were tested using partial least squares (PLS) regression and the PROCESS macro for SPSS. Findings Knowledge sharing significantly enhances franchisees’ cognitive trust and affective trust, with notable differences in the impact of communication on each. The mediating roles of cognitive trust and affective trust also differ significantly. Additionally, hotel general managers’ entrepreneurial leadership strengthens franchisees’ intention to continue. Originality/value Unlike studies focusing on initial franchise relationships, this research examines franchisees’ willingness to sustain cooperation within ongoing relationships. Highlights the complexity of communication in the Chinese cultural context and its influence on business decisions. Empirical data reveal the distinct mechanisms through which cognitive trust and affective trust affect franchisees’ intention to continue. Offers new insights into trust dynamics in cross-cultural franchising. Additionally, the moderating role of entrepreneurial leadership in franchise continuity is emphasized, providing valuable implications for effective management practices in franchising.