The Role of Relationships Between Franchisor and Franchisee in Medical Franchises

The relationship between a franchisor and franchisee is a unique one. Specifically, when it comes to the ever-increasing popularity of the medical franchise, ensuring a healthy relationship between parties is essential. Franchising offers the opportunity to increase the efficiency and organization of a structure in the healthcare field. What does the role of the relationship between a franchisor and franchise need to be like in order for both to succeed?

A recent study looked into that very issue. In three Dutch healthcare franchises, a team used a sequential mixed methods approach to gain insights into the relationship between franchisor and franchisee and its effect on the business. Through structured interviews, observations, and analysis, the team collected data to compare with a larger survey. The survey involved 19 healthcare franchises where 40 franchisors and 346 unit actors responded.

From the study, researchers found that it’s important for franchisees must have open, committed, and cooperative relationships with their franchisor. Franchisees must feel that they can introduce ideas and articulate needs to their franchisor. By having positive relationships like these, medical franchises can promote an increased quality of care and ensure their own survival.

The study showed that there are seven unique aspects that are important in the relationship between a medical franchisee and franchisor. Close cooperation, mutual involvement in improvement and innovation, sharing knowledge, commitment, trust, communication, and limited conflict proved to yield positive results in the success of a medical franchise.

When franchisees feel a sense of partnership and ample attention is paid to their needs from the franchisor, the franchise is more likely to succeed. Franchisees are more satisfied and committed in their roles when they feel well informed about developments in the franchisor. If the franchisee trusts the franchisor, they feel satisfaction from knowing they have space to provide feedback and feel their ideas will be respected.

On the flip side, the franchisor also seems to benefit from these positive relationship attributes. If a franchisor’s franchisees are committed to the structure and goals of the medical franchise, the franchise is more likely to survive. If a franchisee feels heard and like a part of the team, they’re inclined to more stringently adhere to the franchisor’s prescribed efficiency and quality of care.

This study suggests that the success of any medical franchise depends on a positive relationship between the franchisee and franchisor. Communication, commitment, and cooperation, above all, were found to be the most important attributes in any business relationship in the medical franchise industry. Not only does the franchise benefit from this nurturing relationship, but the patients do as well through an increased quality of care and commitment to efficiency from the franchisee.

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