CHARACTERISTICS OF FRANCHISE ENTERPRISES AS NETWORK
                        ORGANIZATIONS

                                 Izabela Turek Ph.D., izaturek@o2.pl
                      Technical University of Czestochowa, Faculty of Management


        Abstract: Initiating cooperation among companies has resulted in practice in establishing
network organizations1. Obviously, not every instance of cooperation has to lead to such a
result. It rather takes place in cases when several business entities cooperate. Usually one of
these entities is given a superior role and then coordinates transfer of information and capital,
both pecuniary and non-pecuniary, among other entities involved in the network. Then we have
to do with subordinate networks. There are also various types of relations among the individual
subordinate entities, to begin with formalized ones, and to end with loose market contacts. The
structure of dependence among the participants in a network is different if the network is one in
which coordinate partners are involved. In such a network the companies involved have similar
position on the market and none of them is superior with respect to others. The main goal of this
paper is analysis of franchise enterprises as network organizations.

           Key words: franchise, network organizations, cooperation
           JEL code: M19