Franchise Update Magazine Issue II, 2015 | Page 57
a major component of the cost. The average price in the U.S. for this meal is
about $4.80. In Norway, it is more than
US$7 in, and in China it is US$2.
• Keeping good, trained staff. At
the start of a new franchise in a new
country, the franchisor typically trains
the new local management at its home
country headquarters. Then the franchisor comes to the new country and trains
the local staff that will run the operations
Staffing challenges
are global. What
is also global is
the requirement
that the person
representing the
franchise to the
end customer be
trained and provide
good customer
service.
of the local unit. But the franchisor cannot come each time new staff is hired.
The solution for many franchisors is to
train the trainer—a local person who has
spent months at the franchisor’s headquarters learning and relearning, and
then training staff in how the franchise
should operate. One caution: in emerging markets, expect high staff turnover
as training staff is hired away by other
franchises. (This is an extremely difficult
problem in China.)
In summary, staffing challenges are
global. What is also global is the requirement that the person representing the
franchise to the end customer be trained
and provide good customer service so
the franchise will succeed. Just like at
home! n
William Edwards, CEO of EGS LLC, has 40
years of international business experience.
He has lived in 7 countries, worked on projects in more than 60, and has advised more
than 50 U.S. companies on international development. Contact him at 949-375-1896,
[email protected], or read his blog
at edwardsglobal.com/blog.
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