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73-525: SPAR , originally " DESPAR ", styled as " DE SPAR " ( Dutch pronunciation: [də ˈspɑr] ), is a Dutch multinational franchise that provides branding, supplies and support services for independently owned and operated food retail stores. It was founded in the Netherlands in 1932, by Adriaan van Well . Its headquarters are in Amsterdam . The company operates a partnership programme and has

146-492: A franchise , or be part of a chain, depending on the model applied in any given country. The owners of the parent company vary from country to country and may include the shop owners themselves. The name and the current logo was most recently revised in 1968 by Raymond Loewy and has since remained unchanged. In the United Kingdom , Spar was founded in 1959 and may be a supermarket or a convenience shop . In 1997, Spar

219-448: A franchise disclosure document (FDD), no laws require an estimate of franchisee profitability, which depends on how intensively the franchisee "works" the franchise. Therefore, franchisor fees are typically based on "gross revenue from sales" and not on profits realized. See remuneration . Various tangibles and intangibles such as national or international advertising , training and other support services are commonly made available by

292-514: A "drug cooperative". As he explained to them, they could increase profits by paying less for their purchases, especially if they set up their own manufacturing company. His idea was to market private label products. About 40 druggists pooled $ 4,000 of their own money and adopted the name Rexall . Sales soared, and Rexall became a franchisor. The chain's success set a pattern for other franchisors to follow. Although many business owners did affiliate with cooperative ventures of one type or another, there

365-616: A core group of profitable companies in Europe and the United States. As part of its Road to Recovery strategy, Ahold strengthened accountability, controls and corporate governance and restored its financial health, regaining investment grade in 2007. In November 2006, Ahold announced the results of a major strategic review of its businesses. As a result of this review, Ahold launched its strategy for profitable growth focused on strengthening its retail competitive position, particularly in

438-438: A customer who had a bad experience at one franchise may assume that they will have the same experience at other locations with other services. Distance can make it difficult for firms to detect whether or not the franchises are of poor quality. One way around this disadvantage is to set up extra subsidiaries in each country or state in which the firm expands. This creates a smaller number of franchisees to oversee, which will reduce

511-527: A different shareholder group in 2012. The SEC filed fraud charges against four former executives of U.S. Foodservice: the company's former CFO, former chief marketing officer, and two former purchasing executives. The purchasing executives settled the charges. The former chief marketing officer was sentenced to 46 months in prison. The former CFO was sentenced to six months of home detention and three years' probation. Anders Moberg became CEO on 5 May 2003. Under his and other new leadership appointed following

584-416: A fair price from the franchisor or sources recommended by the franchisor. A coffee brew, for example, can be readily identified by the trademark if its raw materials come from a particular supplier. If the franchisor requires purchase from her stores, it may come under anti-trust legislation or equivalent laws of other countries. So, too, with purchases such as the uniforms of personnel and signs, as well as

657-428: A final settlement with Ahold. In January 2006, Ahold announced that it had reached a settlement of US$ 1.1 billion (€937 million) in a securities class action lawsuit filed against the company in the United States by shareholders and former shareholders. Another class action lawsuit was filed against Ahold's auditors, Deloitte, but this suit was dismissed. The suit was brought up again by shareholders in 2007, and by

730-602: A fine of approximately €8 million. Ahold's former CEO, CFO, and the former executive in charge of its European activities were charged with fraud by the Dutch authorities. In May 2006, a Dutch appeals court found Ahold's former CEO and CFO guilty of false authentication of documents, and they received suspended prison sentences and unconditional fines. The United States Securities and Exchange Commission (SEC) announced in October 2004, that it had completed its investigation and reached

803-399: A foreign market on its own, as the franchisee is typically responsible for those costs and risks, putting the onus on them to build a profitable operation as quickly as possible. Through franchising, a firm has the potential of building a global presence quickly and also at a low cost and risk. For the franchisee, the primary advantages are access to a well-known brand, support in setting up

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876-520: A former master franchisee of the country's largest franchise system led to a review of the need for franchise law by the Ministry of Economic Development. The New Zealand Government decided there was no case for franchise-specific legislation at that time. This decision was criticised by the opposition, which had initiated the review when in power, and the review process was questioned by a leading academic. The Franchise Association originally supported

949-450: A franchisor: (a) a royalty for the trademark, (b) reimbursement for the training and advisory services given to the franchisee, and (c) a percentage of the individual business unit's sales. These three fees may be combined in a single 'management' fee. A fee for "disclosure" is separate and is always a "front-end fee". A franchise usually lasts for a fixed time period (broken down into shorter periods, which each require renewal), and serves

1022-399: A great extent. Consequently, franchising was not a growth industry in the United States. It was not until the 1960s and 1970s that people began to take a close look at the attractiveness of franchising. The concept intrigued people with entrepreneurial spirit. However, there were serious pitfalls for investors, which almost ended the practice before it became truly popular. The United States

1095-858: A license to operate the Spar brand in Sri Lanka as Spar Lanka. This is a joint venture of Ceylon Biscuits Limited and SPAR South Africa. They opened the first store in Thalawathugoda , Colombo . The plan is to open 50 outlets in the country by 2023. In 2020, there were more than 13,500 SPAR stores in 48 countries. In 2022, SPAR International entered the Kazakhstan retail market. In 2022, Israeli supermarket chain Shufersal announced plans to open SPAR stores in Israel; with 10 stores to be opened in

1168-518: A niche between convenience shops and traditional supermarkets. These are hypermarkets and compete directly against major international chains such as Real , Carrefour , and Tesco . KwikSPAR, only found in South Africa, is a smaller quick stop shop for convenience, larger than the conventional SPAR Express and smaller than the normal SPAR. These stores tend to have extended trading hours, some operating as 24-hour convenience stores. HOT SPAR

1241-415: A number of senior management resigned as a result, and earnings over 2001 and 2002 had to be restated. The main accounting irregularities occurred at U.S. Foodservice (now US Foods) , and, on a smaller scale, Tops Markets , in the United States, where income related to promotional allowances was overstated. In addition, accounting irregularities were found at the company's Argentine subsidiary Disco , and it

1314-531: A presence in most European countries, as well as throughout Asia , Africa and Oceania . In fiscal year 2022, SPAR earned €43.5 billion in global sales, which represented a 5.6 percent increase over the previous year. By 2024, the group had 13,900 stores in 48 countries. The name was originally DESPAR, an acronym of the Dutch phrase Door Eendrachtig Samenwerken Profiteren Allen Regelmatig ' Through united co-operation everyone profits regularly ' , which

1387-472: A reduced range of other household goods. They originate from the acquisition of retail units from the Julius Meinl coffee and tea chain in 2000. By 2024, the group had 13,900 stores in 48 countries. Franchising The word franchise is of Anglo-French derivation—from franc , meaning 'free'—and is used both as a noun and as a (transitive) verb. For the franchisor, use of a franchise system

1460-551: A sales revenue of approximately $ 66.5 billion. In 2016 the majority of franchise brands were retailers with the largest segment being non-food retailing, accounting for 26 percent of brands, a further 19 percent of brands were involved in food retailing, 15 percent of franchisors operated in administration and support services, 10 percent in other services, 7 percent in education and training and 7 percent in rental, hire and real estate services. Franchising in Australia commenced in

1533-412: A significant way in the early 1970s under the influence of the franchised US fast food systems such as KFC , Pizza Hut , and McDonald's . It was however underway prior to this and a decade earlier in 1960 Leslie Joseph Hooker , considered a pioneer of franchising, created Australia's first national real estate agency network of Hooker real estate agencies. In Australia, franchising is regulated by

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1606-580: A single grocery store in Oostzaan and became the largest grocery chain in the Netherlands in 1970s, Netherlands. The company went public in 1948. It merged with Belgium -based Delhaize Group in 2016 to form Ahold Delhaize . The company started in 1887, when Albert Heijn, Sr. opened the first Albert Heijn grocery store in Oostzaan, Netherlands. The grocery chain expanded through the first half of

1679-413: A specific territory or geographical area surrounding its location. One franchisee may manage several such locations. Agreements typically last from five to thirty years, with premature cancellations or terminations of most contracts bearing serious consequences for franchisees. A franchise is merely a temporary business investment involving renting or leasing an opportunity, not the purchase of a business for

1752-447: A vehicle of success for both a large franchisor and a small franchisee. Thirty-six countries have laws that explicitly regulate franchising, with the majority of all other countries having laws which have a direct or indirect effect on franchising. Franchising is also used as a foreign market entry mode . The boom in franchising did not take place until after World War II . Nevertheless, the rudiments of modern franchising date back to

1825-636: Is a leader in franchising, a position it has held since the 1930s when it used the approach for fast-food restaurants, food inns and, slightly later, motels at the time of the Great Depression . As of 2005, there were 909,253 established franchised businesses, generating $ 880.9 billion of output and accounting for 8.1 percent of all private, non-farm jobs. This amounts to 11 million jobs, and 4.4 percent of all private sector output. Mid-sized franchises like restaurants, gasoline stations and trucking stations involve substantial investment and require all

1898-496: Is an alternative business growth strategy, compared to expansion through corporate owned outlets or " chain stores ". Adopting a franchise system business growth strategy for the sale and distribution of goods and services minimizes the franchisor's capital investment and liability risk. Franchising is rarely an equal partnership, especially in the typical arrangement where the franchisee is an individual, unincorporated partnership or small privately held corporation, as this will ensure

1971-437: Is entered into. The code also regulates the content of franchise agreements, for example in relation to marketing funds, a cooling-off period , termination, and the resolution of disputes by mediation . On 1 January 2015, the old Franchising Code was repealed and replaced with a new Franchising Code of Conduct. The new Code applies to conduct on or after 1 January 2015. The new Code: These are significant changes and it

2044-616: Is important that franchisors, franchisees and potential franchises understand their rights and responsibilities under the Code. For further information about the changes to the Code, please see the updated Franchisor Compliance Manual and the Franchisee Manual. The Code explanatory materials are available from the ComLaw website (link is external). New Zealand is served by around 423 franchise systems operating 450 brands, giving it

2117-437: Is necessary to operate complicated equipment, and the franchisee has to learn on their own from instruction manuals. The training period must be adequate, but in low-cost franchises it may be considered expensive. Many franchisors have set up corporate universities to train staff online. This is in addition to providing literature, sales documents and email access. Also, franchise agreements carry no guarantees or warranties and

2190-473: The Middle Ages when landowners made franchise-like agreements with tax collectors , who retained a percentage of the money they collected and turned the rest over. The practice ended around 1562 but spread to other endeavors. For example, in 17th-century England franchisees were granted the right to sponsor markets and fairs or operate ferries . There was little growth in franchising, though, until

2263-482: The Netherlands are members of Superunie , an inventory purchasing organisation for a number of otherwise unaffiliated supermarket brands. In 1988, SPAR South Africa became a wholly owned subsidiary of Tiger Brands , a holding company with a large diversified portfolio. It was unbundled and listed as a separate company in 2004. In July 2014, SPAR South Africa opened its first supermarket in Angola but no expansion of

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2336-413: The "territory" if the franchise is worked according to plan. The franchisee must be seen as an independent merchant. It must be protected by the franchisor from any trademark infringement by third parties. A franchise attorney is required to assist the franchisee during negotiations. Often the training period – the costs of which are in great part covered by the initial fee – is too short in cases where it

2409-662: The 1990s in Latin America, Central Europe, and Asia. Ahold N.V. received the designation "Royal" from Dutch Queen Beatrix in 1987, awarded to companies that have operated honorably for one hundred years. That same year Gerrit Jan Heijn , Ahold executive and only brother of Albert Heijn, was kidnapped for ransom and murdered. The company's ambitious global expansion was halted by the announcement of accounting irregularities at some of Ahold's subsidiaries in February 2003. The CEO, Cees van der Hoeven, and CFO, Michael Meurs, and

2482-410: The 20th century, and went public in 1948. Under the leadership of the founder's grandsons, Albert Jr. and Gerrit Jan Heijn, the company continued to make a significant impact on food retail in the Netherlands in the next four decades, pioneering self-service shopping, and the development of private labels and of non-food as a grocery store category. The company also influenced culinary development in

2555-739: The English language for the document, as long as the Brazilian party knows English fluently and expressly acknowledges that fact, to avoid translation. The registration accomplishes three things: In Canada, recent legislation has mandated better disclosure and fair treatment of franchisees. The regulations also ensure their right to form associations and launch collective action, even if they signed contracts prohibiting such moves. Franchising in Canada involves 1,300 brands, 80,000 franchise units accounting for about 20% of all consumer spending . China has

2628-550: The Franchising Code of Conduct, a mandatory code of conduct concluded under the Trade Practices Act 1974 . The ACCC regulates the Franchising Code of Conduct, which is a mandatory industry code that applies to the parties to a franchise agreement. This code requires franchisors to produce a disclosure document which must be given to a prospective franchisee at least 14 days before the franchise agreement

2701-461: The Singer venture did not put an end to franchising. Other companies attempted franchising in one form or another after the Singer experience. For example, several decades later, General Motors established a somewhat successful franchising operation in order to raise capital. Perhaps the father of modern franchising, though, is Louis K. Liggett . In 1902, Liggett invited a group of druggists to join

2774-650: The United States. The company focused on building its brands by creating an improved product and service offering, delivered an improved price position and lowered operating costs; and reorganized the company into two continental organizations led by Chief Operating Officers. As part of the strategy, Ahold further focused its portfolio, including the divestment of U.S. Foodservice (completed in July 2007, to CD&R and KKR for US$ 7.1 billion), Tops (completed in December 2007, for US$ 310 million to Morgan Stanley Private Equity) and

2847-587: The agreement, which leads to refunds and serious payments for damages. The Franchise Law does not distinguish between Brazilian and foreign franchisors. The National Institute of Industrial Property (INPI) is the registering authority. Indispensable documents are a Statement of Delivery (of disclosure documentation) and a Certification of Recording (INPI). The latter is necessary for payments. All sums may not be convertible into foreign currency. Certification may also mean compliance with Brazil's antitrust legislation. Parties to international franchising may decide to adopt

2920-459: The attention of a businessperson. There are also large franchises like hotels, spas and hospitals, which are discussed further under technological alliances . "No poaching" agreements are prevalent within franchises, thus limiting the ability of employers at one franchise establishment to hire employees at an affiliated franchise. Economists have characterized these agreements as a contributor to oligopsony . Three important payments are made to

2993-541: The brand is planned for this market. Since 2021, the group has 100% of BWG Foods , which had outlets in Ireland and southern Britain. In 2015, Ahold acquired all 35 hypermarkets and 14 supermarkets from Spar Czechia for more than 5.2 billion Czech koruna . and converted them into Albert super- and hypermarkets. However, it had to divest itself of some shops in order not to have a monopoly . The first SPAR shop in Oman

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3066-470: The business using operating manuals, and ongoing operational support including access to suppliers and employee training. A primary disadvantage to franchising is quality control, as the franchisor wants the firm's brand name to convey a message to consumers about the quality and consistency of the firm's product. They want the consumer to experience the same quality regardless of location or franchise status. This can prove to be an issue with franchising, as

3139-949: The company's operations in Poland (completed in July 2007, to Carrefour). The company made solid progress in delivering its strategy under the leadership of John Rishton, appointed CEO in November 2007, who had been part of the team that developed the strategy in his previous role as CFO. In November 2011, under the leadership of Dick Boer , appointed CEO in March 2011, Ahold announced a new phase of its growth strategy, "Reshaping Retail". This strategy has six pillars - three designed to create growth and three to enable this growth. The six pillars are: increasing customer loyalty, broadening our offering, expanding geographic reach, simplicity, responsible retailing, and our people. On 24 June 2015, Delhaize Group reached an agreement with Ahold to merge, forming

3212-464: The company. Under the existing contract, Singer could neither withdraw rights granted to franchisees nor send in its own salaried representatives. So, the company started repurchasing the rights it had sold. The experiment proved to be a failure. That may have been one of the first times a franchisor failed, but it was by no means the last. Colonel Harland Sanders did not initially succeed in his early efforts at franchising Kentucky Fried Chicken . Still,

3285-412: The country, popularizing products such as wine, sherry and kiwi fruit, contributing to the introduction of the refrigerator in Dutch households and introducing convenience items, such as ready meals and frozen pizzas, to Dutch consumers. Albert Heijn became the largest grocery chain in the Netherlands during this time, and expanded into liquor stores and health and beauty care stores in the 1970s. In 1973,

3358-551: The crisis, Ahold launched a "Road to Recovery" strategy in late 2003 to restore its financial health, regain credibility, and strengthen its business. As part of this strategy, Ahold announced it would divest all operations in markets where it could not achieve a sustainable number one or two position within three to five years, and that could not meet defined profitability and return criteria over time. The company divested all its operations in South America and Asia, retaining

3431-420: The first three years of operation. Also in 2022, SPAR entered Latvia where by 2023 it opened 23 stores. A first Israeli Spar store was opened in 2024. In most, but not all countries, SPAR operates shops of different types and sub-brands: SPAR Express, SPAR Neighbourhood, EuroSPAR and InterSPAR. The EuroSPAR name is used in Europe and SuperSPAR in South Africa. These are mid-sized supermarkets, designed to fit in

3504-414: The franchise as a system in which the franchisor licenses the franchisee, for a payment, the right to use a trademark or patent along with the right to distribute products or services on an exclusive or semi-exclusive basis. The provision of a "Franchise Offer Circular", or disclosure document, is mandatory before execution of agreement and is valid for all of the Brazilian territory. Failure to disclose voids

3577-416: The franchise sites, if they are owned or controlled by the franchisor. The franchisee must carefully negotiate the license and must develop a marketing or business plan with the franchisor. The fees must be fully disclosed and there should not be any hidden fees. The start-up costs and working capital must be known before the license is granted. There must be assurance that additional licensees will not crowd

3650-443: The franchisee has little or no recourse to legal intervention in the event of a dispute. Franchise contracts tend to be unilateral and favor of the franchisor, who is generally protected from lawsuits from their franchisees because of the non-negotiable contracts that franchisees are required to acknowledge, in effect, that they are buying the franchise knowing that there is risk, and that they have not been promised success or profits by

3723-416: The franchising authority are becoming increasingly strict. Some franchisors are using minor rule violations to terminate contracts and seize the franchise without any reimbursement. Franchising brings with it several advantages and disadvantages for firms looking to expand into new areas and foreign markets. The primary advantage is that the firm does not have to bear the development cost and risks of opening

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3796-517: The franchisor has substantial legal and/or economic advantages over the franchisee. The usual exception to this rule is when the prospective franchisee is also a powerful corporate entity controlling a highly lucrative location and/or captive market (for example, a large sports stadium) in which prospective franchisors must then compete to exclude one another from. However, under specific circumstances like transparency, favourable legal conditions, financial means and proper market research, franchising can be

3869-443: The franchisor's signs, logos and trademark in a prominent place. The uniforms worn by the staff of the franchisee have to be of a particular design and color. The service has to be in accordance with the pattern followed by the franchisor in the successful franchise operations. Thus, franchisees are not in full control of the business, as they would be in retailing. A service can be successful if equipment and supplies are purchased at

3942-521: The franchisor. Franchise brokers help franchisors find appropriate franchisees. There are also main 'master franchisors' who obtain the rights to sub-franchise in a territory. According to the International Franchise Association approximately 44% of all businesses in the United States are franchisee-worked. Franchising is one of the few means available to access venture capital without the need to give up control of

4015-416: The franchisor. Contracts are renewable at the sole option of the franchisor. Most franchisors require franchisees to sign agreements that mandate where and under what law any dispute would be litigated. In 2016 there were an estimated 1,120 franchise brands operating in Australia and an estimated 79,000 units operating in business format franchises, with a total brand turnover of approximately $ 146 billion and

4088-478: The highest proportion of franchises per capita in the world. Despite (or because of) the 2008–2009 recession, the total number of franchised units increased by 5.3% from 2009 to 2010. There is no separate law covering franchises, so they are covered by normal commercial law. This functions very well in New Zealand and includes law as it applies to contracts, restrictive trade practices, intellectual property, and

4161-509: The holding company Albert Heijn changed its name to "Ahold", an abbreviation of A lbert H eijn H old ing". In the 1970s, the company began expanding internationally, acquiring companies in Spain and the United States. Under a new leadership team, which for the first time did not include any members of the Heijn family, the company accelerated its growth through acquisitions in the latter half of

4234-499: The law of misleading or deceptive conduct. The Franchise Association of New Zealand introduced a self-regulatory code of practice for its members in 1996. This contains many provisions similar to those of the Australian Franchising Code of Practice legislation, although only around a third of all franchises are members of the association and therefore bound by the code. A case of fraud in 2007 perpetrated by

4307-431: The mid-19th century, when it appeared in the United States for the first time. One of the first successful American franchising operations was started by an enterprising druggist named John S. Pemberton . In 1886, he concocted a beverage comprising sugar , molasses , spices , and cocaine . Pemberton licensed selected people to bottle and sell the drink, which was an early version of what is now known as Coca-Cola . His

4380-465: The most franchises in the world but the scale of their operations is relatively small. The average franchise system in China has about 45 outlets, compared to more than 540 in the United States. Together, there are 2600 brands in some 200,000 retail markets . KFC was the most significant foreign entry in 1987 and is widespread. Many franchises are in fact joint-ventures, as at their forming the franchise law

4453-798: The name was abbreviated by dropping the DE prefix. There are some international naming variants: Spar was founded in 1932 in Zegwaart , Netherlands. In 1953, an International Spar office opened in Amsterdam to manage international expansion. Spar shops can be found in Europe, Australia, Oman , Saudi Arabia , Qatar , United Arab Emirates , Israel , Nigeria , South Africa , Botswana , Namibia , Zimbabwe , Zambia , Mozambique , Seychelles , Sri Lanka , Cameroon , China , and India . Spar opened in Vanuatu on 1 December 2009, ending Au Bon Marché's grocery monopoly. A Spar shop may be owned independently, by

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4526-514: The operation of the chain and build a distribution system for servicing it. After the brand and formula are carefully designed and properly executed, franchisors are able to sell franchises and expand rapidly across countries and continents using the capital and resources of their franchisees while reducing their own risk. There is also risk for the people buying the franchises. However, failure rates are much lower for franchise businesses than independent business startups. Franchisor rules imposed by

4599-530: The positive regulation of the franchise sector but its eventual submission to the review was in favour of the status quo of self-regulation. By the end of 2012, about 2,031 franchise brands were operating in Brazil, with approximately 93,000 locations, making it one of the largest countries in the world in terms of number of units. Around 11 percent of this total were foreign-based franchisors. The Brazilian Franchise Law (Law No. 8955 of December 15, 1994) defines

4672-535: The purpose of ownership. It is classified as a wasting asset due to the finite term of the license. Franchise fees are on average 6.7% with an additional average marketing fee of 2%. However, not all franchise opportunities are the same and many franchise organizations are pioneering new models that challenge antiquated structures and redefine success for the organization as well as the franchisee. A franchise can be exclusive, non-exclusive or "sole and exclusive". Although franchisor revenues and profit may be listed in

4745-419: The quality control challenges. Each party to a franchise has several interests to protect. The franchisor is involved in securing protection for the trademark, controlling the business concept and securing know-how . The franchisee is obligated to carry out the services for which the trademark has been made prominent or famous. There is a great deal of standardization required. The place of service has to bear

4818-764: Was a brand of convenience stores licensed to franchisees in Japan. This is the smallest type of shop. They are designed for small sites and filling station forecourts, airports and train stations. There was a drive-through SPAR on the Cliftonville Road in Belfast , Northern Ireland . This has now been converted to a Centra shop, and retained the drive-through for a while afterwards, but now no longer has one. The Austrian Spar Group has around 50 supermarkets branded SPAR Gourmet, mainly in and around Vienna. They are smaller supermarkets that specialize in foods, with

4891-614: Was determined that the financial results of certain joint ventures had been accounted for improperly. As a result of the announcements, the company's share price plunged by two-thirds, and its credit rating was reduced to BB+ by Standard & Poor's. The irregularities led to various investigations and criminal charges by both Dutch and U.S. law enforcement authorities against Ahold and several of its former executives. Dutch law enforcement authorities filed fraud charges against Ahold, which were settled in September 2004, when Ahold paid

4964-843: Was inaugurated in January 2015, in Muscat . Spar Oman had plans to open more shops over time as part of its expansion plans in Oman. Spar opened its first store in Qatar in 2017, with the second store opening in 2018. A further two stores were planned to open in 2018, but it got cancelled. SPAR opened in Saudi Arabia in 2017, sublicensed to Al-Sadhan Group opening its first stores in Riyadh . In 2017, Ceylon Biscuits Limited in Sri Lanka acquired

5037-568: Was introduced to most United Kingdom military bases by the Navy, Army and Air Force Institutes (Naafi), where it sells a variety of civilian and military products. In Ireland and Northern Ireland , the Spar brand is known for neighbourhood shops and also the subformat Eurospar acting as mini-supermarkets. Since 1996, the company has been a major sponsor of the European Athletic Association and its events. Spar stores in

5110-506: Was little growth in franchising until the early 20th century, and in whatever form franchising existed, it looked nothing like what it is today. As the United States shifted from an agricultural to an industrial economy, manufacturers licensed individuals to sell automobiles, trucks, gasoline, beverages, and a variety of other products. The franchisees did little more than selling the products, though. The sharing of responsibility associated with contemporary franchising arrangement did not exist to

5183-475: Was not explicit. For example, McDonald's is a joint venture. Pizza Hut , TGIF , Wal-mart , Starbucks followed not long thereafter. But total franchising is only 3% of retail trade, which seeks foreign franchise growth. Ahold Koninklijke Ahold N.V. was a Dutch multinational retail company based in Zaandam , Netherlands . Founded in 1887 by Albert Heijn, Sr ., the company initially began as

5256-489: Was one of the earliest—and most successful—franchising operations in the United States. The Singer Company implemented a franchising plan in the 1850s to distribute its sewing machines. The operation failed, though, because the company did not earn much money even though the machines sold well. The dealers, who had exclusive rights to their territories, absorbed most of the profits because of deep discounts. Some failed to push Singer products, so competitors were able to outsell

5329-413: Was used by Van Well to describe the brand. The acronym was chosen to resonate with the verb sparen , which (related to English spare ) means "save [money]" in Dutch and some other languages, among them German and Scandinavian languages (with variants such as spara or spare ). Spar is Dutch for " spruce tree", after which the logo was chosen. As the organisation expanded across Europe,

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