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Authors:
Wolfgang Ulaga (Arizona State University); Kathryn Eaton (Arizona State University); Darima Fotheringham (Arizona State University)
Published in:
2017
Version:
30-May-2017
Revision date:
06-Jul-2017
Length:
5 pages
Data source:
Field research

Abstract

This is part of a case series. Case (B) provides deeper insights into the Tide Dry Cleaners franchising business model and illustrates how Agile Pursuits Franchising Inc.’s (APFI) entrepreneurial culture and unique values differ from its parent company’s historical roots, established corporate culture, and value system. Case (B) first explains why APFI decided against the investment opportunity presented in Case (A). To explain the decision, both the franchisor’s and franchisees’ contributions to the business model are discussed. The case further explains why P&G opted for a franchising model. Finally, it sets the stage for a discussion of future avenues for revenue and profit growth in an industry affected by changing consumer trends, overall stagnant sales and looming 'uberization' through disruptive new entrants. In conclusion, case (B) offers different ideas for future growth - each with a number of pros and cons.

Topics

Business model innovation; Service business models; Customer experience; Customer job to be done; Service blueprinting; Customer value proposition; Customer promise; Franchising; Servitization

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