Gyeonggi Province will conduct a survey on the status of franchise businesses.
On September 21, Gyeonggi Provincial Government announced that from September 22 to November 14, it will carry out a "Survey on the Status of Franchise Business Transactions in the Province," targeting 120 franchise headquarters and 600 franchise owners within the province.
This survey is being conducted for the first time in three years since the last survey in 2022. Its purpose is to analyze changes in the franchise business over time and to identify the transaction structure between franchise headquarters and franchise owners, as well as to improve unfair trade practices.
The survey will be conducted through both online questionnaires and individual on-site visits. It will cover issues that have recently become prominent in the franchise sector, such as essential purchase items and rebate fees. In addition, the survey will assess the awareness of franchise headquarters and franchise owners regarding the disclosure system for franchise information documents, which is currently being discussed by the Fair Trade Commission for institutional improvement.
In this survey, Gyeonggi Provincial Government will conduct big data analysis on all 3,148 franchise information disclosure documents registered in the province to diagnose the overall structure of the franchise business.
Furthermore, the province plans to verify the reliability and accuracy of 2,266 information disclosure documents, excluding small-scale franchise headquarters with five or fewer franchisees and annual sales of less than 200 million won.
If any discrepancies, false, or exaggerated information are found as a result of the survey, administrative guidance and corrective actions will be taken through the "Gyeonggi Fair Trade Keeper" initiative.
Suh Bongja, Director of the Fair Economy Division at Gyeonggi Provincial Government, stated, "This survey is an essential process for the efficient operation of franchise headquarters and for establishing a stable business environment for franchise owners. Based on the survey results, we will actively promote support policies to create a fair and transparent franchise business environment."
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