Abstract

This study aims to introduce conversion franchising strategy by utilizing the case of Nadle-Gagae. The case study of Nadle-Gagae shows that conversion franchising to Nadel-Gagae increases sales, the number of customer visits or visiting rates, and the level of satisfaction of store-owner and customer. This implies that conversion franchising benefits conversion franchising company, store-owner, and customer; it can be conducted as a competitive edge or strategy. However, it is limited to conclude that conversion franchising strategy will apply to all general franchising companies by only analysizing the case of Nadle-Gagae, because the business was initiated by government agency or governmental policy. Therefore, the franchising management should consider more conditions or circumstances related to franchising industry.