Here I will talk about the advantages and disadvantages of joining and starting your own business.
Joining advantages:
1. Most champions have certain brand awareness. Joining and borrowing other people's brand advantages can gain better customer recognition. ?
2. Franchisees generally have a unified procurement and distribution system, which can provide the configuration and supply guarantee of goods by one franchise store, and also ensure the quality and price advantage of goods to a certain extent (not absolute). ?
3. Franchisees will have different degrees of business circle inspection, and will make an estimate to measure the future operation of the store. However, in order to attract more franchisees, many champions exaggerate their predictions and become a huge hidden danger. ?
4. The shopkeeper has a set of standardized systems and processes for managing the store, which greatly reduces the management and promotion costs of franchisees. Often some franchisees do not understand the operation of convenience stores, and they can gain ready-made management experience by joining. ?
5. Personnel usually need unified training and guidance from leaders. ?
6. Chain leaders often have some goods that are not available in a single store, such as private brand goods, in-store processed fast food, service fees, etc. , which can greatly increase the number of customers. ?
7. Franchisees can get unified decoration and equipment (rental) from the owners. ?
8. Joining only needs a good online shop and a certain amount of money, and you can also be a convenience store without experience. ?
9. For profitable franchisees, when the business is normal and formal, franchisees can sell as investors and only be managed by the store manager. ?
Disadvantages of joining:
1. Some franchisees may not be able to guarantee the investment interests of most franchisees. After all, joining is the cooperation and risk sharing of both parties. However, the inevitable strong position of franchisees leads to almost all risks being borne by franchisees. Once the management is not good, the loss will be borne by the franchisee. From this perspective, the risk of joining is not necessarily smaller than that of starting your own business. ?
2. The decision-making power of the franchise commodity variety lies with the owner, and the price is uniformly controlled. If there is no advantage in price, there will be great competitive pressure. ?
3. Joining needs to pay a certain joining fee, which is equivalent to part of the profits of the leaders. ?
4. Once the franchise is terminated for a short period of time or it is unprofitable in most cases, a large amount of expenses will be recovered, all of which will be borne by the franchisee. ?
How about starting your own business?
Advantages of self-employment:
1. The investment in a single store of the same size is relatively less than that in joining, and the profit does not need to be shared with others. ?
2. Self-management, whether it is price or commodity procurement, autonomy is in yourself. Buy whatever you want, adjust the price if you want, and delete zero if you want to give it to customers. After all, ordinary people are still sensitive to prices. ?
3. A good operator will reach an agreement with customers around him. Good family ties and price advantages are extremely lethal, especially when the proportion of goods accompanying convenience stores and supermarkets is high. ?
4. The ship is easy to turn around, and your own affairs can be adjusted at any time. As long as it loses money, it will take corresponding measures to save it immediately, or close the store as soon as possible. Relative joining can reduce the loss of investment. ?
Disadvantages of self-employment:
1. Franchise chains have no or few free brand and service charges. ?
2. There is no unified procurement and distribution, and there is no advantage in commodity quality and purchase price (the purchase price here is negotiable, which will be explained later). ?
3. Without brand advantage, some customers will feel that their reputation cannot be guaranteed. ?
4. If chain convenience stores adopt competitive means, it will be difficult for a single store to fight, after all, all aspects of its own strength will be completely suppressed. ?
If the operators are inexperienced, once there is competition, they will only retreat, and no chain convenience store can compete with the overall superior resources of the headquarters. ?
6. Without the perfect management process and norms like chain convenience stores, the management level will be lower and the operating efficiency will be lower. In addition, the quality of personnel is difficult to guarantee, and the loss will be great. ? The above is just a random arrangement, and there must be something that is not involved. But you can get a general idea. It can be simply concluded that joining without experience and some funds is a good choice. If you have experience and insufficient funds, it will be more cost-effective to start your own business.