The interrelationship between economic satisfaction, trust, commitment, and non-economic satisfaction in franchisee-franchisor relationships

Abstract

This study aimed to uncover the interrelationship between economic satisfaction, trust, commitment, and non-economic satisfaction by also considering the mediating role of trust and commitment between the satisfaction constructs in franchisee-franchisor relationships. A total of 415 South African franchisees completed a self-completion online questionnaire. The research and two rival models showed that economic satisfaction has an unequivocal influence on non-economic satisfaction and that trust and commitment mediate this effect. The findings contribute to our understanding of the interrelationships between the study constructs, specifically in franchise relationships, and offer insights to franchisors about how stronger relationships with franchisees beyond their contractual obligations could be fostered. The study contributes by validating, for the first time in a franchise context, the interrelationship linking economic satisfaction, non-economic satisfaction, trust, and commitment previously conducted in business studies and furthermore confirms the mediating role of trust and commitment on the relationship between economic and non-economic satisfaction.