Classically a franchise carrier was either:
(a) covering a geographical area that the major didn't, and providing feed (e.g. Comair in S Africa);
(b) flying smaller aircraft on thinner routes than the major.
In those circumstances, franchising has the potential to work. In other circumstances ("we want our brand to be global, never mind the synergy, let's franchise everywhere" or "oops, this franchisee is now in competition with a company we've bought, so we'll have to cut back on the routes we allow the franchisee to fly whenever we renegotiate the deal") it doesn't work so well.
And I think that's all I'll say...
