<60 Minutes Tracking> The franchise dispute that broke out due to Baek Jong-won’s ‘Volkatz’, what made store owners take to the streets?

2024-07-26 20:41:04

On the 4th of this month, Aritaum store owners held a rally in front of Amore Pacific headquarters.

Jeong Yoon-gi, who runs Yeondon Volkats A branch, decided to open a branch after hearing from a salesperson at the headquarters that the average monthly sales before signing the contract was 30 million won.

Concerned that sales would not be made even if the store opened, he asked the person in charge at headquarters again about the 30 million won in sales.

Kim Seong-tae (pseudonym), who runs Yeondon Volkats Branch B, also said that he had received an explanation about the average monthly sales of 30 million won.

He also opened a store, believing only the words of the head office staff, but sales plummeted after the first month, and current monthly sales are only 7 million won.

The head office said that the actual average monthly sales of franchise stores was around 30 million won, and the sales staff at the time mentioned '30 million won per month' based on the assumption that 'this is expected' and 'Once the store opens, sales will be that much.' It has been revealed that this was not a statement to the effect of ‘this is guaranteed’.

Store owners protested as sales plummeted, but instead, the headquarters discontinued franchise stores' popular items and sold special and discounted products to competitors' stores.

It is an ironic situation where the head office, which is supposed to 'coexist' with franchisees, is 'team killing'.

While companies are opposed, saying that store owners are not workers and that their right to negotiation could be abused, the amendment to the Franchise Business Act is scheduled to be discussed again in the 22nd National Assembly.

 

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