Since the beginning of the 21st century, according to DeBolt, Americans believe that the US economy is in recession and that the number of unemployed continues to increase. He thinks that given this situation, resorting to running a franchised business is a very sensible. The first reason he gave is that franchises allow individuals to take charge of their careers, their financial destinies, and their lives. The second is that consumers are very careful about spending their money so they’d rather buy from well-known, value-consistent brands – the franchised businesses. On the year the article was written, he says that about $1 trillion will be spent by consumers on franchised businesses; a good news for franchisees. Most jobs people who get lay-off are from the management and sales marketing positions. Franchised businesses could most definitely use these unemployed people with a background in management and such. So basically, they all work hand-in-hand. Throughout the article, DeBolt points out that there is still one practical way that Americans can survive the economic crisis: franchising businesses. He probably was successful in showing how one can make money out of franchising but he did not look at the other side of the issue. At a snap of a finger, one’s life savings invested in a franchised business which turns out to be unproductive will be gone. But then again, it is not the only solution and on the title he mentioned that franchised businesses act as a career alternative.
Schlosser, Eric. Fast Food Nation: The Dark Side of the All-American Meal. NY: Houghton Mifflin, 2001.
Eric Schlosser mentioned in the Introduction of his book how the success of the fast food industry inspired other businesses to apply the same principle the said industry abides with which is uniformity. Not long after, franchised businesses started popping up in different areas of the country. Almost the same stores in one state could be found in the other states. The same products are being sold.
How has uniformity aided in the success of these businesses? According to Schlosser, customers are drawn to familiar brands by an instinct to avoid the unknown. Consumers basically feel that the brand they know of have been proven and tested in terms of quality. Moving to a different place, a person would seek first familiar things. Psychologically speaking, this is the Proximity or Closeness Effect wherein individuals develop preferences to those familiar to them.
Schlosser made good points and not only that; he gave concrete examples of the franchised businesses swarming the country. Upon reading the brands, I was still fascinated how these have reached the other side of the globe. The same brands play a big role in the economy of the country where I came from which is in the Far East. I think that homogenization and franchising affects the American way of life by not being very open to innovative and creative ideas because franchised businesses are controlled; by making Americans believe that all franchised businesses’ products are of good quality because they have already made a name for themselves; and by gradually stepping over independent businesses.
Millett, Frederick. “Americanization.” Fred’s College Years. 2000. 12 March 2009
Years ago, countries from all over the world look up to America. They saw America as a great model of democracy. This resulted to embracing America. American trends were followed, American products were preferred, and American businesses were equated to success and fortune. Thus Americanization was given much attention.
Frederick Millett wrote that Americanization not only changes the world, but it also causes misconceptions about Americans and their way of life. Many people now see Americans as shallow, spoiled, and shortsighted. Also, governments of some countries now see America as a threat by overturning cultures and traditions wherever Americans go.
At some point, Millett could have been right in such a way that some countries try to minimize the influence of America: the Israeli government now requires their radio stations to devote half their airtime to Hebrew songs, and France and Germany raised taxes and tariffs on foreign companies and investors. I don’t think this is the case though with all countries. In every corner of the world, McDonald’s and Coca-cola are sold. American products are still preferred over local products due to their affordability – mass production makes this possible. All other local businesses trying to compete with the American businesses followed the “uniformity” principle. These local businesses are also franchised and they sell the same products the American franchised businesses sell because for them, it is more or less a guarantee of success. People still are hopeful and are believers of The American Dream.
In the end, there is not only one answer as to what homogenization and franchising may mean to countries around the world.
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