AHUA: THE FRANCHISING DILEMMA

"Mr Chen Renhua, the owner and General Manager of Ahua, a leading mother-baby care company in China, was pondering about the future of his organisation. Since its establishment in 1993, Ahua had grown to a company offering both products such as baby hair pins, pictures, albums, etc and services including pre-birth education for pregnant women, pre-school education as well as nursing service for babies. Having followed the franchising model since 1994, Ahua both enjoyed the quick expansion of its business all around China and suffered from the diminished management control. With the current management capacity, Mr Chen had to consider the possibility of terminating or continuing with the franchising system. http://www.ecchatbabson.org/"