This study examined issues associated with corporate image in hotel franchise organizations. The problem investigated is defined in this chapter, and ancillary information related to the problem is provided.
Continued consolidation in the hotel industry is causing both independent hotel operators and major hotel chains to look to franchising as a means of surviving in an era of heightened competition. For the major hotel chain that either desires to become a franchisor or that desires to expand a franchise network, however, issues related to either or both the development of corporate image and maintenance of corporate image must be addressed. The issues of greatest importance are the development of a corporate image, and the maintenance of the standards required to support the image developed. This study examined these issues. The specific research questions investigated through the conduct of this study were as follows:
1. How is corporate image developed in hotel industry franchise organizations?
2. How is corporate image maintained in hotel industry franchise organizations?
The purpose of this study was to develop information relative to corporate image in hotel franchising organizations that would be of benefit to both franchisors and franchisees, and to both potential franchisors and potential franchisees. Franchisors may benefit from the findings of this study in relation to the development of strategies and standards that facilitate the establishment and management of franchise networks. Franchisees may benefit from the findings of this study in relation to the development and implementation of operating policies and procedures that enhance the probability of adherence to franchise contractual requirements.
Two terms used in this study require definition. These terms are "corporate image" and "franchise." These terms are defined in this section.
Corporate image is closely associated with corporate i...