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Journal of Business Research xxx (2014) xxx–xxx

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Journal of Business Research

The impact of franchisor support, brand commitment, brand citizenship behavior,


and franchisee experience on franchisee-perceived brand image
Munyaradzi W. Nyadzayo a,⁎, Margaret J. Matanda b,1, Michael T. Ewing c,2
a
Swinburne Business School, Department of Marketing, Tourism and Social Impact, Cnr Wakefield and William Streets, Hawthorn, Victoria 3122, Australia
b
Monash University, Department of Marketing, Peninsula Building D4, Room 24, McMahon's Road, Frankston, Victoria 3199, Australia
c
Deakin University, Faculty of Business & Law, 221 Burwood Highway, Burwood, Victoria 3125, Australia

a r t i c l e i n f o a b s t r a c t

Article history: Purpose: This study examines the impact of franchisor support, brand commitment, brand citizenship behavior,
Received 30 December 2013 and franchisee experience on franchisee-perceived brand image (FPBI).
Received in revised form 4 December 2014 Methodology: The hypotheses were tested using survey data from retail franchisees in Australia, structural equa-
Accepted 16 December 2014 tion modeling, and bootstrapping regression methods.
Available online xxxx
Findings: The results show that both brand commitment and brand citizenship behavior mediate the effect of
franchisor support on FPBI. However, the effect of franchisor support on FPBI via brand commitment is higher
Keywords:
Franchisor support
for franchisees with less experience compared to their more experienced counterparts.
Brand commitment Practical implications: The study provides insights to franchise managers and B2B practitioners on factors that
Brand citizenship behavior enhance FPBI.
Franchisee-perceived brand image Originality/value: Despite the recognized importance of franchise brands, limited research examines how leverag-
Franchisee experience ing the franchise brand can improve franchisee performance. To address this gap, this study examines the effects
Franchise branding of franchisor support on FPBI via brand commitment and brand citizenship behavior moderated by franchisee
experience.
© 2014 Elsevier Inc. All rights reserved.

1. Introduction brand or organization (Baumgarth & Schmidt, 2010). Thus, similar to


customer-contact employees, the behavior of franchisees has a direct
Franchising is a rapidly growing business format and a major vehicle impact on end-customers' brand experience and business performance
for employment creation and economic growth, generating between (Morhart, Herzog, & Tomczak, 2009). Franchisors can utilize internal
32–52% of retail sales in Australia, Germany, and the USA (Dant, brand activities such as internal brand communications and brand-
Grünhagen, & Windsperger, 2011). Franchising entails an arrangement centered human resource efforts (e.g., training support, recruitment
in which a franchisor sells contractual rights to the franchisee(s) to dis- practices, and reward programs) to promote franchisees' brand commit-
tribute goods or services using its brand name and business practices ment and positive brand citizenship behavior (BCB). BCB refers to inter-
(Combs, Michael, & Castrogiovanni, 2004). Thus, franchisor support nal staffs' discretionary activities or generic behaviors that contribute to
and franchise brand performance are crucial for the success of the the viability and vitality of the brand (Burmann, Zeplin, & Riley, 2009;
franchise business system. Additionally, the franchisee has a salient role Hughes & Ahearne, 2010). Thus, franchisors should implement internal
to play in developing the franchise brand and ensuring the success of branding strategies that enhance franchisees' attachment to the fran-
the franchise business. Hence, brand management is central to the pros- chise brand, since positive emotional connections to the brand can
perity of business-to-business (B2B) franchise exchanges (Chabowski, promote constructive BCB. Also, successful franchise brand management
Hult, & Mena, 2011). is a reflection of the value added by both B2B (franchisor–franchisee)
Literature suggests that brand promise delivery to consumers and B2C (franchisee–customer) relationships (Doherty & Alexander,
depends on how well customer-contact employees convey the brand 2006). However, despite the importance of B2B branding and internal
values as well as their attachment to, and identification with the branding in enhancing the franchise brand (Baumgarth & Schmidt,
2010; Zachary, McKenny, Short, Davis, & Wu, 2011), there is limited
⁎ Corresponding author. Tel.: +61 3 9214 8766. research on the benefits of leveraging the internal franchise brand to
E-mail addresses: mnyadzayo@swin.edu.au (M.W. Nyadzayo), enhance franchise brand image.
margaret.matanda@monash.edu (M.J. Matanda), michael.ewing@deakin.edu.au
(M.T. Ewing).
Franchisee's experience with the franchisor can strengthen or inhibit
1
Tel.: +61 3 990 44021. relational value perceptions and relationship satisfaction (Grünhagen &
2
Tel.: +61 3 9244 6548. Dorsch, 2003). That is, as franchisees gain more experience with a

http://dx.doi.org/10.1016/j.jbusres.2014.12.008
0148-2963/© 2014 Elsevier Inc. All rights reserved.

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
2 M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx

franchise system, they become more independent and derive fewer the formation of relationships with brands that reinforce self-concept
benefits from franchisor support (Hodge, Oppewal, & (Fournier, 1998), that in turn, enhances brand image (Da Silva & Syed
Terawatanavong, 2013). Others suggest that franchisees with long ten- Alwi, 2008). Thus, organizational identity theory (such as IBBM) is an
ure are more cooperative and tend to refrain from opportunistic behav- appropriate framework to explain how franchisees' identification with
iors (Blut et al., 2011). Thus, given the growing interest in franchise the franchise brand can engender positive brand feelings, thereby en-
relationship dynamics, this study examines whether the level of experi- hancing positive brand image perceptions (Lawrence & Kaufmann,
ence that a franchisee has with a franchise brand affects their percep- 2011). In this study, the IBBM framework is adapted to explain how
tions of the brand image. franchisor support impacts franchisees' brand commitment and BCB
To examine the research gaps identified above, this study employs that, in turn, can influence franchisees' perceptions of brand image —
an identity-based brand management (IBBM) framework to empirically and how these relationships are moderated by franchisee experience
investigate (i) the relationships among franchisor support, franchisees' (see Fig. 1).
brand commitment, BCB, and franchisee-perceived brand image; and
(ii) how these relationships can vary based on franchisee experience. 2.2. Franchisee-perceived brand image (FPBI)
The remainder of the paper proceeds as follows: In the next section,
the paper draws from the IBBM view to provide a theoretical foundation Brand image is viewed as the perceptions about a brand as reflected
for the study. Next, relevant literature on franchisee-perceived brand by the brand associations held in consumer memory (Keller, 2003). In
image, franchisor support, brand commitment, BCB, and franchisee the present study, brand image is conceptualized from the perspective
experience is reviewed and hypotheses are formulated. Research of the owners of the franchise business (franchisees) and hence the
methods, scale validation, data analysis, and results are then described. term franchisee-perceived brand image (FPBI) is used. Brand image
The study concludes by discussing theoretical and managerial implica- creates value for manufacturers as it makes it easier for customers
tions, and future research directions. searching for product information and also helps create associations
that elicit positive feelings and attitudes that can spill over to other
2. Theoretical framework, literature review, and hypotheses brands in the product line (Aaker, 1991; Keller, 2003). Although the
concept of brand image was developed in the B2C context, it has since
2.1. Identity-based brand management (IBBM) framework been adapted to B2B research (see Bendixen, Bukasa, & Abratt, 2004).
For instance, Campbell, Papania, Parent, and Cyr (2010) argue that
Prior research attests that strong brands are built through identity- B2B firms should select business partners whose brand personalities
based brand management (Aaker, 1991; Burmann, Jost-Benz, & Riley, mirror their own so as to enhance brand image. Prior research attests
2009; Kapferer, 2004). The IBBM framework articulates that strong that B2B marketers can accrue the same benefits as consumer marketers
brands result from internal stakeholders' rationalization of who by investing in building strong brand image among all stakeholders
they are within the organization and what is distinctive or enduring (Bendixen et al., 2004). Further, the value created by brand image can
about that organization (Aaker, 1991). Scholars using the brand also be projected by the service delivery and behavior of its retailers
management approach argue that brand identity is the basis for brand (e.g., franchisees) as consumers usually evaluate retailers based on the
image (Burmann, Jost-Benz, et al., 2009; Kapferer, 2004). Thus, in brands that they sell (Baumgarth & Schmidt, 2010). Hence, brand
franchise brand management, it is presumed that franchisees' positive image is considered one of the main facets of the IBBM approach
perceptions of the franchise brand are likely to translate to positive (Burmann, Jost-Benz, et al., 2009).
brand image to the end-customers. While the franchise brand is critical to the success of franchise
The IBBM framework provides an appropriate theoretical founda- businesses, research shows that franchise brand management can be
tion to our understanding of the franchising phenomena (Lawrence & challenging (Pitt, Napoli, & van der Merwe, 2003). Although franchisors
Kaufmann, 2011; Zachary et al., 2011). The management of the fran- set performance standards and provide marketing support, and a
chise brand identity is vital for the success of the brand since franchisees codified business model, the performance of the franchise brand also
engage with multiple and sometimes competing work groups with depends on how well franchisees understand, articulate, and identify
which they can identify (Lawrence & Kaufmann, 2011). In addition, with the franchise brand (Nyadzayo, Matanda, & Ewing, 2011). Thus,
aligning franchisees' brand identity with the franchise brand is critical compared to other B2B markets, franchise branding is a distinctive
due to the mutual interdependent nature of the franchisor–franchisee concept (Pitt et al., 2003) and the factors that impact FPBI are likely
relationship (Combs et al., 2004; Croonen & Brand, 2013). Moreover, to vary in this channel. For instance, since conflicts are inevitable in
research shows that franchisor–franchisee relationships operate under franchise relationships, effective conflict handling and consistent infor-
the notion that economic activities occur within a social setting; hence mation exchange promote positive franchisee behavior such as trust
identity interpretations should be considered when investigating and satisfaction (Dickey, McKnight, & George, 2008). Additionally, past
franchisee behavior (Doherty & Alexander, 2006; Kidwell, Nygaard, & research concurs that the provision of adequate support by franchisors
Silkoset, 2007). to franchisees can minimize opportunistic and free riding behavior,
Extant research has also used the identification construct to under- resulting in constructive behavior toward brand building activities
stand individuals' psychological attachment to organizations (Ashforth that enhance FPBI (Nyadzayo et al., 2011). Accordingly, the present
& Mael, 1989). Conceptualized as the ‘perception of oneness’ within study suggests that the provision of adequate franchisor support can
the organization, organizational identification occurs when an promote franchisees' brand commitment and BCB that can engender
individual's beliefs about the organization become self-referential or FPBI.
self-defining (Ashforth & Mael, 1989). When individuals identify
strongly with the organization, they are likely to be more intrinsically 2.3. Franchisor support
motivated and behave congruently with the organization's interests
(Hughes & Ahearne, 2010). Even though limited empirical work has fo- Franchisees that are provided with well-developed start-up and con-
cused on examining the extent to which franchisees identify with the tinual support services by their franchisors are more likely to maintain
brand that they sell, extant literature on brand relationships (Fournier, consistent operational standards (Roh & Yoon, 2009) that can promote
1998; Tuškej, Golob, & Podnar, 2013) and brand identification the franchise brand. By providing adequate support, franchisors can min-
(Hughes & Ahearne, 2010) allows for some inferences to be made. For imize opportunistic and free-riding behavior that may reduce franchisee
instance, research suggests that people define themselves by what satisfaction and inhibit relationship quality (Kidwell et al., 2007).
they consume or possess and with whom they associate, leading to Thus, the level of franchisor support engenders pro-organizational

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx 3

H3

Brand
commitment

H2
H1
Franchisee-
Franchisor perceived brand
support image
H4
H5
Brand
citizenship
H7a H7b behavior

H6
Franchisee
experience

Direct effect Moderating effect

Fig. 1. Conceptual model.

behavior in franchisees that in turn enriches the franchise brand image. Zeplin, 2005). Moreover, brand commitment enhances brand image
Franchisor support can be in the form of non-retrievable investments since committed individuals are motivated to support the brand
or relationship-specific commitment of resources in the relationship and have positive brand associations (Kimpakorn & Tocquer, 2008).
such as training, marketing, and business development (Wilson, 1995). Therefore, it is expected that positive emotions can lead to brand
Also, franchisees assess the trustworthiness of their franchise system commitment and, in turn, can promote positive franchisee's brand
based on the franchisor's ability to provide a range of operational support perceptions. Hence:
services (Croonen & Brand, 2013). It is therefore rational to conclude that
franchisees that receive sufficient franchisor support are more likely to H1. Franchisor support positively influences franchisee brand
have higher levels of brand commitment and BCB and tend to undertake commitment.
more brand value–creating activities. H2. Brand commitment has a significant positive effect on FPBI.

H3. Brand commitment positively mediates the link between franchisor


2.4. Brand commitment support and FPBI.

Brand commitment is crucial for successful long-term relationships,


as it enables B2B partners to preserve the relationship, avoid alternative 2.5. Brand citizenship behavior (BCB)
relationships, and reduce perceptions of risk (Davis & Mentzer, 2008).
Brand commitment is the emotional or psychological connection Brand citizenship behavior describes discretionary behavior that
between a consumer and a brand/organization (Fullerton, 2005). In benefits the corporate brand (Morhart et al., 2009). According to
B2B marketing, brand commitment has been operationalized as a bi- Burmann and Zeplin (2005), BCB entails voluntary generic behaviors
dimensional construct composed of behavioral and attitudinal loyalty that help enhance brand identity, such as brand consideration, brand
(Tuškej et al., 2013). The behavioral dimension is reflected through enthusiasm, sportsmanship, helping behavior, brand endorsement,
repeated purchase of the brand, whereas attitudinal commitment is self-development, and brand advancement. BCB is crucial in franchise
reflected through consumers' psychological attachment to the brand retailing contexts due to regular and extensive interactions between
(Tuškej et al., 2013). Attitudinal commitment is comprised of calculative the franchisees/employees and customers (Nyadzayo et al., 2011).
commitment (rational, economic calculation) and affective commit- Prior B2B research has represented BCB as a three-dimensional con-
ment (emotional, social sentiment) (Fullerton, 2005; Gilliland & Bello, struct comprising willingness for further development, willingness to
2002). Affective commitment is central to the current study as it reflects help, and brand enthusiasm (Burmann, Zeplin, et al., 2009). Extending
the socio-psychological attachment to a business partner based on this logic, this present study suggests that BCB in franchising consists of
loyalty, identification, and affiliation (Gilliland & Bello, 2002). (i) brand endorsement, (ii) helping behavior, and (iii) brand enthusiasm.
Franchising contracts can limit the alternatives available to franchise Brand endorsement is suggested to be more crucial in franchising
owners which might constrain the promotion of affective or emotional relationships as positive word of mouth plays a major role in such highly
brand commitment. Consequently, franchisees' emotional commitment competitive markets (Tuškej et al., 2013). Brand endorsement involves
to the franchise brand is important for brand success, as it can influence recommending the brand to others, such as customers, friends, and fam-
their BCB, which is important for attaining franchise business system ily. Research shows that individuals who identify with the organization
goals and objectives (Kimpakorn & Tocquer, 2008). Prior research also tend to advocate the brand to others (Morhart et al., 2009), recommend
suggests that the level of franchisor support influences franchisees' atti- its products more often; defend it from criticism, and encourage other
tudes and attachment toward the franchise brand (Nyadzayo et al., employees to focus on the brand (Hughes & Ahearne, 2010). Helping be-
2011). Thus, similar to employees, when franchisees perceive a positive havior refers to positive attitudes, friendliness, helpfulness, and empathy
relationship based on the overall support provided, then they are likely toward internal and external customers. Helping behavior can include
to develop higher levels of commitment to the brand (Burmann & franchisees' reporting or confronting colleagues for behavior detrimental

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
4 M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx

to the brand or reporting initiatives that threaten the competitive posi- franchisees have less experience than when they become more experi-
tion of the brand. Brand enthusiasm involves taking extra brand building enced. Hence:
initiatives, such as local marketing activities through charity events/
sponsorships, participating in brand-focused events (e.g., workshops H7. The indirect effect of franchisor support on FPBI via (a) brand com-
and conferences), and passing on customer views that support high mitment and (b) BCB is stronger at lower levels of franchisee experience
quality branding decisions. than at higher levels.
Prior research suggests that psychological attachment to a brand can
lead to brand identification which promotes BCB (Burmann, Jost-Benz,
et al., 2009; Löhndorf & Diamantopoulos, 2014). In fact, franchisors 3. Methodology
play a crucial role in enhancing franchisees' brand identification, as fran-
chisor initiatives (e.g., franchisor support) can motivate franchisees to 3.1. Data collection, sample design, and measures
adopt various behavioral responses (Croonen & Brand, 2013). Thus,
franchisor support is essential in influencing positive BCB in franchisees Data was collected from Australian franchise owners (franchisees)
(Nyadzayo et al., 2011). Löhndorf and Diamantopoulos (2014) agree via a self-administered questionnaire. The sampling frame was gathered
that when organizational identification is high, organizational support from a syndicated database, websites, franchise magazines, and the
can enhance employees' voluntary behavior such as brand development Australian franchise directory. To ensure generalizability, the sampling
and positive word of mouth. Thus, it is expected that higher levels of frame consisted of retail franchises from multiple industries (e.g., fast-
franchisor support can engender franchisees' feeling of belonging, food, coffee, cleaning services, to mention a few). Stratified random
thereby promoting BCB. Hence: sampling was used to select respondents based on industry category
and geographic location and then a representative sample was random-
H4. Franchisor support has a significant positive effect on BCB. ly selected from the respective strata. A combination of online and mail
Further, it is also expected that committed franchisees that exhibit surveys were used to collect data to reduce overall costs, maximize
positive BCB are more likely to have a positive franchise brand image. response rates, and minimize non-response bias (Deutskens, de Ruyter,
Limited research has focused on the effect of intangible value-creating & Wetzels, 2006).
psychological factors, such as brand commitment and BCB, on perceived A package containing the mail survey, an explanatory statement, and
brand image in B2B contexts. An exception is a study by Burmann, a pre-paid return envelope was mailed to 922 randomly selected
Zeplin, et al. (2009) that found that brand commitment and BCB franchisees. Then, 1278 e-mail addresses were randomly generated
enhance brand-strengthening effects. The argument for internal brand from the sampling frame discussed above and respondents were invited
management is based on the crucial role played by the internal staff by e-mail to complete the questionnaire online. Respondents were
(e.g., franchisees) to ensure coherent brand experiences across all offered a non-monetary incentive (i.e., results summary). Email and
customer-touch points (Burmann & Zeplin, 2005). For instance, franchi- mail reminders were sent two weeks after the first mail out and emails.
sees with positive BCB are likely to forgive negative experiences and A total of 346 surveys (mail, 126; online, 220) were received and no
dispel feelings of mistrust, thereby engendering long-lasting relation- duplicates were identified in the sample. However, 11 mail responses
ships and maintaining positive associations with the franchise brand. were unusable while online surveys had no missing data due to their
Vallaster and de Chernatony (2006, p. 761) concur with this view and forced response nature. Thus, the 335 usable responses resulted in
state that “… brand consistent behavior supports the development of response rates of 13% (mail surveys) and 17% (online surveys). The sam-
a coherent brand image, and is considered one of the crucial success ple consisted mostly of males (68%), with an average age of 35 years,
factors in corporate brand management.” The present study expects and 53% had more than five years of franchising experience. Most
that franchisees can develop a sense of attachment toward the franchise franchisees (55%) were in the food and non-food retail industry and
brand that can promote BCB and, in turn, contribute to FPBI. Thus: about 45% in the service sector. In terms of geographic location, all
Australian states were represented and the majority came from
H5. BCB is positively related to FPBI. Victoria (31%), New South Wales (25%), and Queensland (20%).
To check for non-response bias, mean scores of early and late re-
H6. BCB positively mediates the relationship between franchisor
spondents were compared and no significant differences were found
support and FPBI.
(Armstrong & Overton, 1977). Non-response bias of the actual study
was assessed by contacting a random sample of 30 non-respondents
2.6. Franchisee experience via email and asking them to answer all non-demographic questions.
T-tests of group means showed no significant differences between
Franchisee experience refers to the length of a relationship between respondents and non-respondents, thus non-response bias was not
a franchisee and a franchisor (Dickey et al., 2008; Tikoo, 2002). As evident. Further tests were undertaken to check for accuracy, represen-
franchisees' behavior is influenced by franchisors' expertise, the level tativeness, and bias between online and mail survey responses
of support provided by franchisors is presumed to be more important (Deutskens et al., 2006), by comparing the distribution of responses
to less experienced franchisees (Tikoo, 2002). The question of whether (e.g., means) (see Hansen, 1980). For instance, the descriptive results
relationship variables evolve with experience has had divergent views for BCB (meanmail = 5.72, meanonline = 5.78) and brand commitment
in past research. For instance, Dickey et al. (2008) state that relationship (Mmail = 4.28, Monline = 4.30) confirm no significant variability
variables such as trust and commitment, knowledge about the franchise among the variables. Similar procedures were undertaken with all key
system, and level of independence are all likely to vary with franchisee variables and no significant variances between online and mail survey
experience. In fact, relational properties such as cooperation, depen- respondents were detected.
dence, and relationship strength tend to be evaluated more positively Multi-item measures (N3), on a seven-point Likert scale anchored
over time (Blut et al., 2011). Yet, Peterson and Dant (1990) posit that on ‘1’ = extremely disagree to ‘7’ extremely agree were used. All
less experienced franchisees identify more advantages compared to measures were adapted from literature and modified to suit the study
those with more experience. That is, a considerable level of coordination context. The source and measurement items are shown in Table 1.
and support is required at the initial stages of the relationship to cater to BCB appeared as a higher-order construct, whereas franchisor support,
the inexperienced franchisees (Blut et al., 2011). This study therefore brand commitment, FPBI, and franchisee experience were measured
posits that the indirect effect of franchisor support on FPBI via the as first-order factors. Finally, content validity was established by
mediators (brand commitment and BCB) is likely to be stronger when assessing face validity using a panel of experts such as franchisors,

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx 5

franchisees, franchise consultants, and B2B branding academics, to Table 2


assess how well the instrument represented the variables and constructs Means, standard deviations, inter-construct correlations and discriminant validity.

under study. Constructs Mean SD AVE 1 2 3 4 5

1. Brand commitment 4.29 .75 .59 1


3.2. Preliminary analysis and measurement model 2. Franchisee-perceived brand 5.36 1.26 .69 .17a 1
image
In Table 1 the standardized factor loadings for each measurement 3. Franchisee experience 1.66 .73 n/a .00 .00 1
4. Brand citizenship behavior 5.78 .82 .55 .09 .38 .00 1
item as well as Cronbach's alpha scores are provided. Standardized
5. Franchisor support 6.03 .83 .50 .02 .35 .00 .17 1
factor loadings assess item reliability and loadings of .50 or more sug-
gest adequate item reliability (Hair, Black, Babin, & Anderson, 2010). AVE = average variance extracted; SD = standard deviation.
Underlined correlations are not significant at α = .05; all other correlations are sig-
The Cronbach's alpha scores ranged between .79 and .96, indicating nificant at p b .01 (2-tailed).
adequate convergence or internal consistency (Hair et al., 2010). Table 2 Note: Except for the mean-centered franchisee experience, all other means are based on a
shows the means, standard deviations, and correlations for all the 7-point Likert scale.
a
measures. Mean values indicate that most measures are generally above Squared multiple correlations of the paired constructs.

their respective midpoint, while revealing evidence of relatively low


Table 1
Measures, standardized factor loadings and Cronbach's alpha scores.
correlations among the independent variables. Thus, multicollinearity
was not a concern in this study (Hair et al., 2010).
Items SFLs Cronbach's α The results in Table 2 show that the average variance extracted (AVE)
Franchisor support (adapted from Roh and Yoon (2009)) .87 for each construct is greater than the squared correlation coefficient of the
The training provided by my franchisor was very useful. .71 respective paired constructs, providing support for discriminant validity
The amount of franchise fees/royalties was not high. .73
(Hair et al., 2010). The AVEs were all N .50 suggesting scale validity
The promotional and advertising assistance is very good. .68
The on-going service provided by my franchisor is very .78 (Fornell & Larcker, 1981).
good. To assess convergent validity, confirmatory factor analysis (CFA) using
There are few franchisor restrictions on day-to-day .67 AMOS v.20 was used and in the measurement model all items loaded on
decisions. their pre-specified constructs (Hair et al., 2010). The CFA model's
The marketing fees and advertising fees are reasonable. .75
My franchisor/representative visits my store regularly. .61
goodness-of-fit indices showed acceptable model fit (χ2130 = 299.30,
Brand commitment (adapted from Kimpakorn and Tocquer .89 χ2/df = 2.30, p b .001, GFI = .91, NFI = .94, TLI = .95, CFI = .96,
(2008)) RMSEA = .060), proving convergent validity (Hair et al., 2010).
I'm willing to put a great deal of effort, beyond what is .57 Since measures were assessed using the same method and the data
expected, to help the success of this brand.
were from the same source, common method variance (CMV) could be
I'm proud to tell others that this is a great brand to be part .69
of. a concern (Podsakoff, MacKenzie, Lee, & Podsakoff, 2003). CMV can also
For me this is the best of all possible brands to be part of. .85 be due to social desirability, ambiguous wording, or questionnaire
I regret I chose to work for this brand over others .81 length (Malhotra, Kim, & Patil, 2006), so care was taken to minimize
considering.a its likelihood during questionnaire design and data analysis. Specifically,
It would take very little to cause me to leave this brand.a .87
Franchisee-perceived brand image (adapted from Yoo and .92
to reduce CMV a pretested self-administered survey was used to check
Donthu (2001)) for ambiguity and help reduce social desirability effects. A marker vari-
There are good reasons to work with this franchise brand .82 able that was theoretically unrelated to other variables was also includ-
instead of others. ed in the questionnaire (Malhotra et al., 2006). The correlation of the
This brand has personality. .89
marker variable with other constructs in the study was relatively low
This brand is interesting. .88
I can easily recognize this brand among other competing .80 and the correlation matrix between the marker and the other variables
brands. was statistically significant after adjusting for CMV, so the results cannot
Overall, this brand provides good value for money. .76 be accounted for by CMV (Lindell & Whitney, 2001). Finally, this study
Brand citizenship behavior (adapted from Johnson and Rapp (2010) and Lee and Allen specified a complex moderated mediation model thereby minimizing
(2002)) CMV as respondents are unlikely to use cognitive maps to visualize
Brand enthusiasm .82 such relationships (Podsakoff et al., 2003).
Attend business events not required by my franchisor that .79
promote the brand.
Keep abreast with developments in the brand. .81
4. Data analysis and results
Offer ideas to improve the brand. .62
Recommend this franchise brand to others. .83 4.1. Results of direct and mediating effects
Brand endorsement .83
Defend the brand when other franchisees or people .56
To examine direct and mediating effects between franchisor
criticize it.
Support this brand through good and bad times. .58 support, brand commitment, BCB, and FPBI, a structural model using
Forgive negative experiences with this brand. .83 structural equation modeling (SEM) analysis in AMOS v.20 was tested.
Recommend this franchise brand to others. .83 The structural model revealed acceptable model fit (χ2138 = 360.52,
Helping behavior .79 χ2/df = 2.61, p b .001, GFI = .90, NFI = .92, TLI = .94, CFI = .95,
Wear this franchise's brands or logos on my clothes. .72
RMSEA = .069). The results of the structural model are shown in
Promote this franchise brand in my local area. .69
Show genuine courtesy toward other franchisees, even .75 Fig. 2. The mediation effects were tested using the non-parametric
under the most trying circumstances. bootstrapping regression technique (Hayes, 2013) and 5000 sample it-
Share my resources to help other franchisees who have .83 erations were specified to estimate both direct and indirect effects. The
work-related problems.
application of bootstrapped bias-corrected confidence intervals (CIs)
Franchisee experience (adapted from Tikoo (2002)) n/a
Indicate the total number of months/years' experience n/a helps to circumvent statistical power problems caused by asymmetric
working with this franchise system. b and other non-normal indirect effect sampling distributions (Cheung
a
Reverse-coded; SFLs = standardized factor loadings, all significant at the .05 level.
& Lau, 2008). The direct and mediation results are shown in Table 3.
b
Data transformed as 1 = low (b5 years); 2 = medium (greater than 5, less than Table 3a shows that the proposed direct effects between franchisor
10 years); 3 = high (N10 years). support and brand commitment (H1), brand commitment and FPBI

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
6 M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx

Brand
commitment
b1 = .17***
a1 = .42***
Franchisee-
Franchisor perceived brand
support image

a2 = .62*** b2 = .72***
Brand
citizenship
behavior

***
Significant at p < .001

Fig. 2. Structural model results.

(H2), franchisor support and BCB (H4), and BCB and FPBI (H5) are all at one standard deviation below the mean (−1SD), moderate (mean),
statistically significant and supported. The results in Table 3b provide and one standard deviation above the mean (+1SD) levels of the mod-
support for H3 and H6 as the mediated effects of franchisor support erator–franchisee experience (Hayes, 2013).
on FPBI via both brand commitment and BCB are significantly different Consistent with H7a, Table 4 shows that the slope of the indirect ef-
from zero at the .001 level. However, partial mediation was established fect of franchisor support on FPBI via brand commitment is stronger
on these relationships as all direct (β = .36, t = 10.37) and total effects (steeper) at lower levels of franchisee experience (β = .05, boot SE =
(β = .53, t = 13.51) were statistically significant. .02) than at higher levels (β = .00, boot SE = .02). Further, Table 4 re-
veals that the franchisor support–brand commitment–FPBI link becomes
4.2. Tests of moderation analysis weaker and statistically insignificant at high levels of franchisee experi-
ence (+1SD = 2.41), as the bootstrapped confidence intervals contain
To test for moderation (H7) a computational procedure in SPSS a zero. As shown in Fig. 3, the slope of the indirect effect is steeper at
using the PROCESS macro developed by Hayes (2013) was employed. low levels than at higher levels of franchisee experience. However, the
This tool is capable not only of implementing moderation or mediation franchisor support–BCB–FPBI link is not moderated by franchisee experi-
analysis, but also combine both to determine the significance of the in- ence, indicating that this mediated effect does not differ with the level of
teraction effects at different values of the moderator in an integrated franchisee experience (see Fig. 4).
moderated mediation model (Hayes, 2013). The results are shown in
Table 4. 5. Discussion and implications
The interaction effects of franchisee experience on the link between
franchisor support and brand commitment to FPBI was statistically Literature highlights how retailers are increasingly focusing on
significant (β = −.08, t = −2.14), in support of H7a. There was no sup- brand building as a way to enhance their competitive advantage
port for H7b as the interaction between franchisor support and BCB to (Aaker, 1991), particularly in franchise B2B markets (Chabowski et al.,
FPBI was not statistically significant (β = .02, t = .56). As the results 2011). Consequently, emerging literature agrees that internal branding
show that franchisee experience moderates the franchisor support– can turn internal staff such as franchisees and employees into brand
brand commitment–FPBI link, it is necessary to examine how the effect champions — that are motivated to engage in behaviors that support
of the franchisor support on FPBI via brand commitment varies with their firm's brand building efforts (Löhndorf & Diamantopoulos,
changes in franchisee experience. A simple slope analysis was then 2014). Franchisees adopt certain behavioral responses to the
used to estimate the effect on the focal variable (franchisor support) franchisor's initiatives and these responses can either be constructive

Table 3
Results for direct relationships and simple mediation effects.

(a) Direct relationships

H Relationships β SE t-Value Conclusion

H1 Franchisor support → brand commitment .42 .12 6.23⁎⁎⁎ Supported


H2 Brand commitment → FPBI .17 .03 4.00⁎⁎⁎ Supported
H4 Franchisor support → BCB .62 .08 8.34⁎⁎⁎ Supported
H5 BCB → FPBI .72 .07 12.62⁎⁎⁎ Supported

(b) Standardized indirect effects: bias-corrected

Hypothesized mediated relationship β SE Bootstrap 95% CIs Conclusion

Lower Upper

H3: Franchisor support → brand commitment → FPBI .03 .02 .00 .07 Supported
H6: Franchisor support → BCB → FPBI .16 .03 .10 .18 Supported

Note: FPBI = Franchisee-perceived brand image; BCB = Brand citizenship behavior, CI = Confidence interval.
⁎⁎⁎ Significant at p b .001, 2-tailed test.

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx 7

Table 4
Interaction effects of franchisee experience on the specified relationships.

Hyp. Y Interactions β SE t-Value p-Value Conclusion

Constant 3.42 .33 10.42 .000


H7a Brand commitment Franchisor support (F) .21 .07 2.91 .004
Franchisee experience (W) .34 .17 1.93 .054
F×W −.08 .04 −2.14 .033 Supported
Constant 4.88 .33 14.65 .000
H7b Brand citizenship behavior Franchisor support (F) .20 .07 2.81 .005
Franchisee experience (W) .08 .18 .46 .649
F×W .02 .04 .56ns .578 Not supported

Conditional indirect effects of franchisor support on FPBI via brand commitment at specific levels of franchisee experience

M ± 1 SD Boot β Boot SE Bootstrap 95% CIs

Lower Upper

Brand commitment Low: −1SD (1.00) .05 .02 .01 .11


Moderate: M (1.67) .03 .02 .00 .06
High: +1SD (2.41) .00 .02 −.04 .05

Note: FPBI = franchisee-perceived brand image, ns = not significant at α = .05, CI = confidence interval.

or destructive to the franchise brand (Croonen & Brand, 2013). Yet, lim- commitment that can promote positive brand image in less experienced
ited empirical research has focused on how franchisors can promote franchisees. Conversely, the results indicate that as franchisees gain
franchisees' constructive behavior and avert destructive behavior more experience, the impact of franchisor support on behavioral com-
(Croonen & Brand, 2013). To address this gap, the current study investi- mitment to the brand and brand image perceptions diminishes. These
gated the relationships among franchisor support, franchisees' brand findings are in line with prior research that advocates the tenuous and
commitment, BCB, and FPBI; and how these relationships vary with dynamic nature of B2B relationships (Blut et al., 2011). For example,
franchisee experience. prior research attests that the initial stages of a relationship are charac-
Based on the IBBM framework the results of this study suggest that terized by franchisees that tend to lack the necessary experience and
franchisor support drives brand commitment, and that positive BCB confidence; hence a significant level of coordination and support is
encourages franchisees to engage in brand supportive behaviors that essential to promoting constructive behavior, brand commitment, and
enhance FPBI. Prior research concurs that internal branding that fosters trust (Blut et al., 2011; Tikoo, 2002).
organizational identification, can motivate internal staff to help build The unexpected finding was that franchisee experience did not
and strengthen brand image (Baumgarth & Schmidt, 2010; Löhndorf moderate the indirect effect of franchisor support on FPBI via BCB.
& Diamantopoulos, 2014; Morhart et al., 2009). Further, Altinay, These results seem to suggest that BCB has a crucial role to play in facil-
Brookes, Madanoglu, and Aktas (2014) attest that franchisors can itating the link between franchisor support and FPBI irrespective of
enhance franchisees' confidence in franchisors' capabilities through franchisee's experience. One possible explanation for this is that regard-
the provision of appropriate training and operational support. More- less of the stage of the franchisor–franchisee relationship, continuous
over, the current study aligns with past research that calls for the careful franchisor support is crucial in engendering constructive BCB that can
integration of brand management and relationship management in enhance FPBI.
enhancing brand image to create value for the firm and its stakeholders
(Davis & Mentzer, 2008). 5.1. Theoretical implications
Perhaps the most significant findings of this study are related to the
moderating role played by franchisee experience. The results suggest This study responds to calls for a stronger theoretical grounding to
that the less experienced the franchisee, the stronger the influence inform B2B branding and franchising research (Zachary et al., 2011).
of franchisor support on FPBI via brand commitment. Thus, franchisor First, by drawing on the IBBM framework, the study provides empirical
support plays a critical role in engendering higher levels of brand

0.07

0.05
Indirect effect

0.03

0.01

-0.01

-0.03
0.5 1 1.5 2 2.5 3
Franchisee experience
Short Mediated effect Long

Fig. 3. Conditional indirect effects of franchisor support on FPBI via brand commitment at Fig. 4. Conditional indirect effects of franchisor support on FPBI via BCB at different
different franchisee experience levels. franchisee experience levels.

Please cite this article as: Nyadzayo, M.W., et al., The impact of franchisor support, brand commitment, brand citizenship behavior, and franchisee
experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008
8 M.W. Nyadzayo et al. / Journal of Business Research xxx (2014) xxx–xxx

evidence that both brand commitment and BCB mediate the effect of as licensor–licensee relationships. Fourth, the study investigated the
franchisor support on FPBI. Second, the study extends prior research moderating role of a single variable-franchisee experience. Future
that has highlighted the importance of organizational identity theory research could consider the moderating role of other market-related
(IBBM framework) in explaining franchising phenomena and highlights or organizational variables, such as franchisor/franchisee competence,
the importance of aligning franchisees' identity with the goals of both that could potentially moderate the relationships specified in this
the franchisor and the franchise brand. Third, the study builds on study. Lastly, given that prior research has called for empirical work
existing research (see Burmann, Zeplin, et al., 2009) to conceptualize on how branding practices and relationships differ between global
and operationalize BCB in franchise relationships. Fourth, by examining and national or local franchises (Zachary et al., 2011), a global-level
the moderating effects of franchisee experience, this study contributes study examining relationships that emerged in this study across coun-
to knowledge by indicating how and why behavioral variables such as tries and different types of franchises would contribute to additional
brand commitment vary with the lifecycle stage of the franchise knowledge in this area.
relationship. Finally, despite the importance of franchisees in driving
the success of the brand, little empirical research has addressed how Acknowledgments
franchisors can motivate franchisees into brand champions that are mo-
tivated to engage in behaviors that promote the franchise organization's The authors want to thank the Editor and the two anonymous
brand building efforts. Hence, the current study contributes to theory by Reviewers for their constructive comments and suggestions.
advancing an empirically tested model explaining how the effect of
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experience on franchisee-perceived brand image, Journal of Business Research (2014), http://dx.doi.org/10.1016/j.jbusres.2014.12.008

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