ASSESSMENT OF THE LEVEL OF FRANCHISING DEVELOPMENT IN THE RUSSIAN FEDERATION

Franchising is one of the most effective means of business development, which is actively developed all over the world, including our country. In Russia, it is franchising that helps to create a fast-growing business, in conditions where there is a shortage of financing for both fixed and working capital of companies and enterprises. According to statistics, franchising companies are the most protected at the time of economic instability. But, unfortunately, not all entrepreneurs correctly assess franchising and understand its advantages. Thanks to the method of statistical analysis, the level of growth and development of franchising in Russia was determined. Summary and grouping of statistical observation data revealed the most popular industries for opening of franchising companies. A correlation and regression analysis helped to establish the degree of influence of certain factors on the investment attractiveness of the franchise. The article examines and analyzes franchising as one of the effective ways to carry out activities in business structures. The relationships between the franchisor and the franchisee in the business environment are evaluated; the question of why it is profitable to invest in a franchise is reviewed; the level of development of franchising in Russia is analyzed; and the key activities that need to be carried out to increase the level of investment attractiveness of the franchise in Russia are determined. Additionally, the certain example shows how rapidly franchising companies can grow. The ratio of franchising growth and reduction of the level of development of the own small business showed the urgent need to develop a bill establishing relations between the franchisor and the franchisee. Additionally, the market research has shown that currently it is profitable to open a franchise business even in small cities where people do not risk opening their own business, which helps to develop the economy of the regions. This means that this problem will become even more urgent due to the rapid spread of franchises from large cities to the far areas of the regions. These recommendations can be used in discussion of small and mid-sized businesses in Russia.

franchising, franchisee, business, investment attractiveness, investments, commercial concession, development, legislation, entrepreneurship, risks.

Borkova E. A., Yakubovich A. I., Nefedova S. A., Manachinsky G. V. Assessment of the level of franchising development in the Russian Federation. Business. Education. Law, 2019, no. 3, pp. 92–97. DOI: 10.25683/VOLBI.2019.48.311.