Franchisor–franchisee relationship has received little attention in literature in Indian context. Attempts have been made to find out the difference in the perceptions of franchisor and franchisee regarding various relationship issues: cooperation, loyalty and relationship quality (trust, commitment and satisfaction). Reviews state that franchisors and franchisees often tend to work for their own interests and forget the mutual benefits they can give to each other. T-test was employed to test the differences in the perceptions of franchisors and franchisees included in the study. A significant gap was found in the perceptions of franchisee and franchisor regarding issues pivotal for their relationship in Indian education sector. This article infers that such gaps are detrimental towards their relationship. Thus, it also suggests how these perception gaps can be minimized so that the relationship works well.
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