How to reduce the turnover of a company dependent on a single supplier by developing a multi-supplier and international merchant site?

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How to reduce the turnover of a company dependent on a single supplier by developing a multi-supplier and international merchant site?

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Themes

Turnover, merchant site, supplier, E-commerce, franchise network, territorial exclusivity clause, commercial site, franchise contract, franchise agreement, Manico, Esprit fashion, Commercial Code, SWOT analysis, PESTEL Analysis, technology, Management, franchise stores, France, Europe, obligation to purchase, right to competition, foreign brands, GIS Geographic Information System, Software, SEO Search Engine Optimization, international delivery, foreign market

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Abstract

MANICO is an ESPRIT franchise. This type of contract creates a high dependency on a single supplier and eliminates any possibility of online sales. In order to reduce this reliance on ESPRIT, the company wishes to develop a merchant website with several French and foreign brands and to provide deliveries all over Europe.

Legal and regulatory issues
1. Merchant site: initiative of the franchisee
2. Obligation of each party in a franchise agreement
3. Disagreements in a franchise agreement
4. Website
5. The products for which the Franchisee is free to obtain supplies from the supplier of his choice
6. Requalification of the franchise contract
7. Consideration of the franchisor concerning the opening of a website by the franchisee
SWOT Analysis
1. SWOT analysis of ESPRIT
2. SWOT analysis of the MANICO franchisee
ESPRIT PESTEL Analysis
1. Political factors in Esprit Holding's PESTEL analysis
2. Economic factors of Esprit Holding's PESTEL analysis
3. Social factors of the activity of Esprit Holdingsrter
4. Technological factors in Esprit's PESTEL analysis
5. Environmental factors in Esprit's PESTEL analysis
6. Legal factors in PESTEL analysis
ESPRIT franchise stores
1. Choice of suppliers
2. Operation of a franchise contract in relation to the obligation to purchase
3. Acquire other suppliers for a franchisee
4. The right to competition
Problem of our Work
1. Website completely independent of MANICO
2. Independent MANICO website created using ESPRIT templates and guidelines
3. Actions to be favored by MANICO when creating its website
4. Functionality of the MANICO website to sell internationally
5. Solutions to integrate European foreign markets
Conclusion and Recommendations
1. Conclusion
2. Recommendations

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[...] Generally, efforts to specifically reach a particular territory or customer base are considered a form of active selling to that territory or customer base. For example, paying a search engine or provider of online advertising space to serve advertising specifically to users in a particular territory constitutes a form of active selling in that territory" (Vertical Agreements (2010/C 130 regarding active selling). This prohibition is justified by the need to protect the investments, in particular marketing, supported by the Franchisee which makes it possible to "test" the new market or the new brand. [...]

[...] Binford, J., Bryner, W. M., & Morris, M. C. (2018). Franchising & Distribution Currents. Franchise Law Journal, 303-326. Benoliel, U., & Fisher, G. (2020). Introduction to Franchise Law in Israel. [...]

[...] The Franchisor must therefore select, among referenced suppliers, constituting a List, also called "supplier tariff", in coherence with the concept of the brand, a range of specific products making it possible in particular to guarantee both to customers and to Franchisees such as MANICO: - a permanent supply of these products (within the limit of available stocks), - a quality, - traceability, - a very specific product mix. The list of products that cannot be acquired from suppliers other than those that have been referenced and appear in the "suppliers list". To avoid being forced to limit itself to the only list that we have just referred to, MANICO must be able to find a way to be able to procure from other suppliers, while keeping its assets. [...]

[...] Re the marketing, the franchise must respect the elements of the mix, namely firstly offering all of the network's products and services, and the constant elements of communication through the graphic charter (logotype, symbol, etc.). Two other elements of the mix are more difficult to deal with: price and promotion. How can MANICO be required to respect the prices when the franchisor cannot impose them on him without risking having his network reclassified as a branch chain? It is the same for the promotions which are most often linked to the price? Can two franchise stores practice two different promotions? It may be argued that stores can also define different pricing and promotion strategies. [...]

[...] These domains or subdomains can be declared individually in Search Console and set their international targeting. MANICO can opt for management by subdomain or by domain and will have to translate contextual content made up of product texts, buttons, page names, advice pages, etc., not to mention the emails sent during transactions. International delivery Selling abroad is similar to delivery. The MANICO e-commerce site must therefore integrate the configuration of international delivery zones. The company can define different costs or delivery times depending on the target countries Depending on the choice of its carriers, MANICO will sometimes have to change its contracts in order to be able to deliver abroad. [...]

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