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RESEARCH PRODUCT

Master International Franchising in China: The Case of the Athlete’s Foot

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Franchising in China is a relatively new and growing phenomenon, which has gained momentum since the 1990s. Among the franchising pioneers in China are large and well-known food and beverage brands, such as KFC and McDonald’s. Less well known, but equally important, are the non-food retailing and service industries, which also made inroads in China using franchising. One such example is the case of the Athlete’s Foot Company. This American company has been a major competitor in the athletic shoes and sportswear sectors globally, made early entry into China using master international franchising, and, consequently, ran into problems indicative of the issues companies that expand internationally using franchising often encounter.