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The Study on the Relationship among Conflict's Causes, Conflict, and Dissolution Intention in the Chinese Franchise System - Focused on the Moderation Effect of Environmental Dynamism - Huang Peng․Kim, Wan-Min The purpose of this paper is to provide a theoretical foundation for the foreign companies who wish to enter into the Chinese franchise market. To achieve the above purpose, this study investigated the structural causal relationship among conflict's causes, conflict, and dissolution intention between franchisors and franchisees in the franchise system. In particular, we focused on the moderation effect of environmental dynamism on this structural relationship. In the context of Chinese clothes' franchise market, survey was conducted from the perspective of franchisees in order to verify the proposed five hypotheses. And 321 responses were used in final analysis. Testing these five hypotheses by using these responses, we found that (1)the exercise of coercive power, nonfulfillment of roles and distributive unfairness have positive impacts on conflict as the results of previous studies, however procedural unfairness has no impact on conflict in the statistics. This means that the franchisees are relatively more emphasis on distributive unfairness than procedural unfairness in Chinese franchise market. (2)conflict has strong positive impact on the dissolution intention, and (3)environmental dynamism has the moderation effect only on the path between nonfulfillment of roles and conflict. This means that franchisees usually pay more attention to the franchisors' fulfillment of responsibilities in the situation of high environmental dynamism. In other words, franchisors do not perform or do not fully perform their duties w ill more easily lead to conflict with their franchisees.