Innovation Management within the Plural Form Network

Gérard Cliquet

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Franchising Strategies and Performance Innovation and Knowledge Management Business Strategy and Innovation

Abstract

Nowadays, most retail chains are organized in a network structure, which operates under the principals of mutual communication and cooperation for lower overhead cost, increased responsiveness and flexibility, and greater operational efficiency (Lozenzoni and Baden 1995). In addition, thanks to interfaces between many units, the network is a powerful tool to foster innovation. However, networks can also block innovation because of the divergence of interests among units (Hagedoorn 1995). A franchised network is an illustration of this, due to the fact that franchisees, as independent small business owner, have the right not to adopt all the modifications proposed by the franchiser. A solution is to use the plural form, associating franchise and company arrangements. In reality, the plural form is increasingly used in retailing; it has advantages over the pure franchised and wholly owned chains in terms of innovation. This paper deals with innovation management within the plural form network. Firstly, difficulties in managing innovation faced by network operators are pointed out. Secondly, why the plural form could facilitate innovation is explained. Finally, the innovation process models are established, which highlight how innovations are made and managed in the plural form network. Data for analysis are obtained by interviews with network operators in France. On the whole, this work tends to show the superiority of the plural form and has a practical purpose to help the plural form network to optimize the management of innovation projects. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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1985Innovation and Entrepreneurship 1990Information Technology Implementation Research: A Technological Diffusion Approach 1995Building the Learning Organization 1989Price, Authority, and Trust: From Ideal Types to Plural Forms 2001Winning at new products : accelerating the process from idea to launch 1989Price, Authority, And Trust: From Ideal Types To Plural Forms 2002How should companies interact in business networks?1977Managing the Flow of Technology: Technology Transfer and the Dissemination of Technological Information Within the R&D Organization

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2008Toward a relational perspective of franchising chains 2011Determinants of firm size in the franchise distribution system 2009Franchise firm entry time influence on long‐term survival 2012The plural form from the inside

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