ABSTRACT
Ethical branding is fundamental for internal cohesion and sharing common values across the entire franchising network. Branding and marketing activities rely on franchisees actively sharing the brand values. Ethical values and corporate culture are not only strategic tools to discourage opportunistic behaviors but also essential to cooperation in franchising networks. This chapter proposes a conceptual framework of ethical branding in franchising, and the implications for brand values and corporate culture. This study discusses ethical branding reflecting on key explanatory factors adopting a relationship perspective. Ethical business practices depend not only on contractual obligations but also on sharing codes and engaging key stakeholders. The discussion then focuses on the fundamental elements to manage brand relationships and their effects on the quality signals, emphasizing the development of brand citizenship behaviors through the involvement of partnership members. A stakeholder perspective facilitates the overall assessment of the return on brand equity, while the corporate culture and role of key actors across the entire network contribute to building ethical brand values.
