Why Is It Essential To Own Wendy's Restaurant

The business that I want to open would be a franchise of a McDonald’s restaurant. McDonald’s is a fast-food restaurant that serves a variety of products, but is mostly known for its

The advantage of Arby’s being a franchise is that it has Brand Recognition. Most if not all franchises are well-known companies with established customer bases. Owning a franchise instead of starting up a new business saves you the time and effort of building a reputation and attracting customers. Franchises also receive support from corporate headquarters in a number of areas including marketing, training and even financing. Corporate headquarters of large franchises are ready with advice and expertise for making the business the best it can be. Many companies help

I am currently in a position in my life where I am working diligently to prepare for my future. While I have a Master’s degree in Clinical Psychology, I have always been entrepreneurial in nature and remain open to any opportunity to better myself personally and professionally. I believe that operating a franchised restaurant business would be an incredible way for personal and professional growth, in addition to helping my

“I’m working a part-time job at Wendy’s.” What is the first thought that comes to your head when you hear this sentence? Greasy fries, polyester uniforms, cheap food? What about the people who work there? Do you picture a first-time worker, a high school dropout, other pimple-faced workers taking your order? For some reason, in our society, we’ve associated low-quality workers with low-quality food? In his article “Working at Wendy’s” Joey Franklin paves the road towards a new perspective about those who come to work at Wendy’s. Instead of explicit points and unshakable statistics, and powerful calls to action, Franklin alternatively leads gently us through a process of revelation. Drawing from his own experiences working at his local Wendy’s Franklin gives an eye-opening view into the world behind the counter.

1. Franchisees gain numerous advantage when they purchase a franchise. First, while a franchisee may be opening a new store, it is part of an already established business and system. This means a franchisee has access to turnkey operations, allowing an increased speed to establishing and growing the business. Franchisees also get support for management and training activities, as well as financial assistance. Going hand in hand with this, a franchise already has an established brand name, quality of goods and service which have been standardized across the franchisor’s larger company, and national advertising programs from franchisors. Franchises also have large-volume, centralized buying power. A franchise has proven products, and

Food business is a lucrative source of finances for some lucky individuals. Running this type of business is both intoxicating and challenging. It cannot be denied that even you are cautious in managing a restaurant; problems may arise such as bankruptcy, damage to property, theft or lawsuits. A business plan along with restaurant insurance is necessary to minimize problem in the future, and enable you to focus on serving the best cuisine in town. Here is the coverage you get from restaurant insurance Chicago:

Wendy's revenues were derived from the sales made from company-owned restaurants, from royalties paid to the company by owners of franchised restaurants, from fees paid by the owners of franchised restaurants for technical assistance and from interest earned on investments. By 1978, Wendy's operated 1,407of restaurants. Of this number, 1,119 stores were owned by franchisees. Franchised stores were built to a uniformed specification and were not located within the same market areas as company-owned stores. Most restaurants were located in urban or densely populated suburban areas; a large volume of customers was a primary factor for Wendy's success. Each franchisee paid a $15,000 fee for technical assistance prior to the opening of a restaurant for services such as site selection, construction plans, initial training for owners and staff members, advertising materials, national purchasing agreements and operations manuals. For 1978, company-owned stores generated 84.13% of revenue, royalties generated 12.65% of revenue, technical

Wendy’s created an initial level of excitement that competitors were unable to match. Being known as an originator creates a strong bond between customers.

You could contractually require them to personally participate in the business, and restrict them to one property until they’ve proven themselves.” He then described typical terms in the franchise restaurant agreement: a 20 – year term with renewal at the franchisor’s option; a 5% to 6% royalty on gross revenues, and an up-front fee. “That fee depends on the strength of the brand,” he noted. “And you can structure the deal so that each franchisee is responsible for his own financing.” He explained that some franchisors handled all development, including market analysis, feasibility studies, site selection, and construction themselves, then lease the property to the operator. “But in others,” he continued, “franchisees must buy or lease the land in an attractive location, and build the restaurant themselves. Since Porcini’s doesn’t have a construction department, which might be the way you should begin.”

The value of intellectual property is something that can be debated among the rack and file members of any industry, but the measures created to protect IP of all shapes and sizes has been affected in preventing companies from establishing intellectual property that would benefit the organization. The basis of this response paper is to address the value of intellectual property for the Wendy’s company, throughout the paper the writer will answer vital questions regarding IP and Wendy’s. Intellectual capital is the intellectual property used by an organization to generate revenue for the organization. Companies such as Wendy’s depend on the intellectual property to separate themselves from the pack of competition within their industry. “The success of our business strategy depends, in part, on our continued ability to use our existing trademarks and service marks in order to increase brand awareness and further develop our branded products

Franchisors are increasingly having to be more and more selective in the adoption of franchisees with factors such as economic climate and the potential difficulty with growth playing key factors in the decision making process. It is not simply an ability to grow which creates a successful Franchise and nor is it the desire of any franchisor to adopt every potential franchisee. Franchisors are becoming more and more scrutinising as the global economy declines. There is a general understanding within any franchised

McDonald’s has extremely strict rules when it comes to awarding franchises. First, it is very costly to open a new location or purchase an existing location, with the median startup cost being $300,000 (Kalnins & Lafontaine, 2004, p. 750). As well, the company does an extensive background check on a variety of issues including credit history, business management experience, and the acceptance of the contractual agreement that the company provides. Because of these strict rules and the large amount of capital needed to purchase a location, “rates for franchise applicants are 1% for McDonald's” (Norton, 1988, p. 204). This is an extremely low acceptance rate and is even lower than McDonald’s chief competitor, Burger King, who accepts 1.5% percent of applicants (Norton, 1988, p. 199). These low numbers are understandable in the context of the business and risk that is involved. Though the franchise purchaser must pay a large amount of money to gain the rights to the restaurant, they truly have nothing to lose besides money because they are simply running another company’s business model as well as using their trademarks and logos. McDonald’s on the other hand, has a great amount at stake because they place the well being of an entire restaurant into the caretaking of an individual who simply purchased the rights for the store. If the store does poorly or if there are issues with customer service, it reflects

♦ Reliance on franchising "associate" stores and opening a few new company-owned stores as a means of expanding nationally and internationally. However, franchise licenses were granted only to candidates who have experience in multi-unit food establishments and who possess adequate capital to finance the opening of new stores in their assigned territory.

Inputs: Roy Rogers controls carefully who can become a franchisee, and the case provides details of the financial and managerial qualifications that are necessary to be accepted as a franchisee. Roy Rogers also controls tightly the design and construction criteria for new restaurants.

Because the total cost varies from restaurant to restaurant, the minimum amount for a down payment will vary. Generally, you need a minimum of $300,000 of non-borrowed personal resources to be considered to open a McDonald's franchise. Individuals with additional funds may be better prepared for additional or multi-restaurant opportunities which McDonald's encourages.