We can often see KFC stores in busy areas, but people are not very clear about which one is a franchise store and which one is a direct-operated store. What is the difference between KFC franchise stores and direct-operated stores? There is a big difference between the two. Directly operated stores are managed by KFC headquarters, while franchise stores are managed by franchisees. In addition, there are certain differences between the two models in other aspects. Next, let’s analyze the difference between the two in detail!

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What is the difference between KFC franchise stores and direct-operated stores?

< p>In the current fast food market, KFC has two business models: direct-operated stores and franchise stores. If entrepreneurs want to cooperate, they can only choose franchise stores. Many investors do not know much about the difference between direct-operated stores and franchise stores, and many people think that there is no difference between the two. In fact, the two are completely different. Next, let’s analyze their differences in detail!

The concepts are different: directly-operated stores are directly managed by KFC, and both store managers and employees are assigned by the headquarters. The headquarters will have direct jurisdiction over the stores, and all directly operated stores will also need to fully obey the command of the brand headquarters. However, franchise stores have a certain cooperative relationship. There is no affiliation between the two parties, there is just a certain cooperative relationship. Therefore, franchise store owners will have great autonomy.

The risks are different: when opening a directly operated store, all risks will be borne by the headquarters, and franchise stores need to be borne by the entrepreneurs themselves.

Different advantages: Direct-operated stores will accept unified management from the headquarters, which makes it easier to give full play to the overall advantages, while franchised stores are more flexible in operation, more self-service, and have greater collective awareness. It will be relatively weak and lack unity with the whole.

Different funds: Directly-operated stores are built by KFC headquarters, so they have strong financial strength behind them, so directly-operated stores have more advantages in developing in the market. Franchise stores are funded and operated by franchisees, and their financial strength is far weaker than that of directly operated stores.

Different technologies: KFC's directly-operated stores will have their own R&D teams, which can continuously develop a variety of new delicacies and quickly conduct trial operations in directly-operated stores. The franchise stores need to wait for the headquarters to share the new food production technology step by step, and they have no R&D capabilities themselves.

What is the difference between KFC franchise stores and directly-operated stores? From the above explanation, we can see that there are many differences between directly-operated stores and franchise stores. If you want to open a store like KFC, the entrepreneur can only choose to become its agent, so that you can open your own franchise store and work hard for your own business.