The purpose of this study was to investigate cultural diversity training practices and to determine the deterrence factors associated instituting cultural diversity training. It attempted to measure the overall effectiveness of cultural diversity training in franchise restaurants. A total of 300 franchise restaurants were surveyed. Three practicing and fifty-eight non-practicing cultural diversity training companies participated in the study. The findings indicated that high turnover rates of employees were the most important deterrence factor in developing and using cultural diversity training programs in the franchise restaurants studied .. Respondents reported that such training was more successful in improving interpersonal skills for cross-cultural interactions than in enhancing performance of inter-cultural job tasks and decreasing perceptions and attitudes about culturally diverse people. / Master of Science