INNOVATION IN FRANCHISING SYSTEMS UNDER THE IMPACT OF DIGITALIZATION AND ARTIFICIAL INTELLIGENCE

Abstract

This paper provides an analysis of the franchising system, synthesizing the theoretical foundations of vertical cooperation, the innovator’s psychological profile, and customer loyalty mechanisms, correlating them with cutting-edge research on the Motivation-Opportunity-Ability (MOA) framework and the impact of Artificial Intelligence. The results highlight the importance of integrating the traditional rigor of the franchise-specific business package and the agility provided by new technologies. Additionally, the paper emphasizes the importance of technological education and demonstrates that the future success of franchise networks depends on the capacity to generate not only economic but also social value, in the form of Digital Social Innovation (DSI) in accordance with the Sustainable Development Goals (SDGs), which defines franchising not just as a replicable business model, but as one capable of continuous evolution through innovation.