Mediating Effect of Government Support on Financial Resources and Business Survival Among Homegrown Franchisees

Author : Nor Hafiza Binti Othman

Abstract :Businesses worldwide have been severely impacted by the global crisis, plunging them into dire economic circumstances and threatening their financial stability, potentially leading to business collapse. Thus, the aim of this study is to illuminate how franchisees' utilization of financial resources via government support influences their potential for survival. A survey study was conducted among 280 franchisee owners in Malaysia who successfully weathered the challenges of the COVID-19 pandemic. Out of these, 246 valid questionnaires were deemed suitable for analysis using IBM SPSS 26 and SmartPLS 4.0. The findings reveal that the survivability of franchisees is significantly impacted by financial resources accessed through government support. This study is expected to provide a useful insight that can benefit the Malaysian franchise industry, policy makers and industry stakeholders in developing the successful strategies to overcome this kind of crisis in the future. Utmost the findings will contribute to knowledge in the field of franchise management and strategies for resilience during any pandemic crisis.

Keywords :Franchise survivability, financial resources, government support, COVID-19 pandemic, business resilience, crisis management, franchise management, economic stability, Malaysia, SMEs.

Conference Name :International Conference on Higher Education Leadership and Management (ICHELM-25)

Conference Place Ho Chi Minh City, Vietnam

Conference Date 26th Feb 2025