FRANCHISES AS AN EXPANSION STRATEGY FOR ENTREPRENEURS: A STUDY ON RISKS AND BENEFITS IN THE INTERIOR

Abstract

This study investigated the role of franchising as an expansion strategy for entrepreneurs in inland cities, considering the risks and benefits associated with this business model. The research employed a qualitative approach based on bibliographic and documentary analysis, gathering evidence from academic studies that explore franchising in regional contexts. The findings revealed that franchises offer advantages such as access to established brands, standardized processes, operational support, and know-how transfer, factors that contribute to management professionalization and strengthen local competitiveness. It was observed that implementing this model in smaller markets can fill commercial gaps, introduce modern practices, and stimulate regional economic development. However, significant challenges were identified, including contractual rigidity, dependence on brand image, and restrictions on franchisee autonomy, which may limit adaptability to local specificities. The analysis showed that the success of franchises in inland areas depends on careful planning, appropriate selection of the commercial location, and strategic alignment between franchisor and franchisee. It is concluded that expansion through franchising represents a relevant opportunity for entrepreneurs, provided there is a balance between standardization and flexibility, ensuring sustainability and long-term growth.