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This study discusses the business models of regional franchise authorization in the real estate industry. There is few cases of regional franchise authorization in the real estate industry in Taiwan. Therefore, it is not easy to collect research data. In this study, we use the Pacific Ocean House in Taichung City as an example to explore the business models that can be applied in the future.
Firstly, we analyze the operating models and costs of franchise stores. Then, we also compare the difference between regional franchise authorization and non-regional franchise authorization. Secondly, the operating models of franchise stores and direct stores in six municipalities are investigated in terms of the number of stores, turnover volume per month, and the number of employees. Thirdly, we also compare the operating models of franchise stores and direct stores based on the administrative districts in Taichung City. We use the number of franchise store of 13 major brands located in different administrative districts of Taichung City in the past five years to see the competition.
Finally, we analyze the business model of Pacific Ocean House in Taichung. The SWOT model is used to explore the possible opportunities and future strategic position. The findings suggest a possible model of regional franchise authorization in the real estate industry.
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