The Effects of Investment Model Components(Relationship Value, Alternative Attractiveness and Investment Size) on Commitment

The objective of this paper is to testify the effects of franchisee's perceived relationship value, alternative attractiveness and investment size on commitment using investment model. The study examines which factor enhance and which factor weaken the commitment among three factors(relationship value, alternative attractiveness and investment size) of investment model. Data were collected from 495 Korean food service franchisees and analyzed with structure equation modeling using path analysis by SPSS 18.0 and AMOS 18.0. 1) The franchisee's perceived relationship value has positive effect on franchisee’s commitment. 2) The franchisee's alternative attractiveness has negative effect on franchisee’s commitment(The franchisee's lack of alternative attractiveness has positive effect on franchisee’s commitment). 3)The franchisee’s investment size has positive effects on commitment.