This article uses data from a field study of five large U.S. restauran
t chains to model how chains use a plural form-simultaneous use of com
pany and franchise units-to maintain uniformity and achieve systemwide
adaptation to changing markets. From interview and observational data
, I identify organizational structure, control systems, career paths,
and strategy-making processes as four means through which the combinat
ion of company and franchise units helps chains achieve their objectiv
es. The paper shows how the control and innovation processes provided
by this plural form ameliorate some of the weaknesses and leverage som
e of the strengths of the company and franchise arrangements, enhancin
g the performance of the chain overall.(.)