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Why Franchising is Going Global

Why Franchising is Going Global

By on Nov 25, 2015 in News | 0 comments

Why Franchising is Going Global Taking a franchise brand international is, in a sense, the final frontier for growth. It’s where many franchise brands that have begun – and been successful – in the U.S turn when they seek expansion. It’s a strategy that often occurs in part because of growth that has saturated domestic markets and territories. Typically, larger more established franchise brands begin looking across borders for untapped markets and potential growth. It’s an expansion strategy that’s not new. But during the past couple of decades as franchising has continued to grow as a popular business model, the international growth strategy has been on the rise. International franchising can also provide opportunities for new and existing franchisees looking for expansion options. There are opportunities as near as Mexico and Canada and as far as the Middle East. In one sense, international franchising can be a relatively smooth and easy process. After all, the franchise concept is built around infrastructure, simplicity, replication, and streamlined operations. What works in one place generally works in another. And many international markets are wide open and untapped and offer enormous potential for franchisors – with the right products, services, and business culture. Consider this, eighty percent of the world’s population lives in areas that are considered emerging markets. The U.S. Department of Commerce estimates that over 75 percent of the expected growth in the world’s trade over the next two decades will come from developing countries, particularly big emerging markets, which account for over half the world’s population, but only 25 percent of its gross domestic product. Nevertheless, there are challenges for franchisors that seek expanding kingdoms in other lands – and often for the franchisees who operate the units. Franchisors look at key markers such as what kind of demand exists for their products and services in the new international market(s), the initial cost of entry, sourcing supplies and related vendor issues, and whether or not it makes sense to open company and franchise units in these new territories. Franchisors are going to evaluate a country’s GDP per capita, general population statistics, and the overall health of the country’s economy. Another significant factor affecting international expansion, laws often vary from country...

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Expanding Vidbox in Mexico

Expanding Vidbox in Mexico

By on Nov 24, 2015 in News | 0 comments

Expanding Vidbox in Mexico Netflix co-founder Mitch Lowe announces a million dollar investment to boost on the Vidbox startup in Mexico and expand operations through all the country taking the expansion to one of the most important cities in the country (Guadalajara) replicating with this the success that Redbox had on the United States. Read More...

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