Entrepreneurs encouraged to join franchise expo

CEBU, Philippines - The Philippine Franchise Association (PFA) is encouraging good business concepts from Cebu to participate in the “franchise incubation” set up by the organization for the upcoming 17th International Franchise Expo on July 25-29 at SMX Convention Center in Manila.

PFA officials, led by Elizabeth Pardo-Orbeta were in Cebu recently to showcase the opportunities that Cebuanos can take advantage of during the five-day exposition which is expected to boost the franchise industry in the Philippines, as well as attract international franchisees of Filipino-owned businesses and brands to land successfully in the global market.

The “franchise incubation” section of the exposition will give opportunities for micro and small and even start up business concepts to easily go into the mainstream market, considering the number of interested franchisees and capitalists that are expected to join and participate in the event.

The section is heavily discounted and that cost is subsidized by the organization to help develop local brands to excel not only in the domestic landscape, but also abroad.

She said there are a lot of potential local brands and good business concepts that need the help from capitalists, or interested franchisees, specifically from Cebu.

According to PFA chairman Robert F. Trota the incubation area is a “testing ground” for new concepts to see if they have potential in the mainstream ground.

Trota, who is the president of Max’s Restaurant and director of The Real American Dougnuts, the company that brought the Krispy Kreme brand in the Philippines, said that students can also use the area to test their products in the market and if the concept is feasible for small kiosk ventures.

The Philippines, through PFA, is up on its bid to become the “Center for Franchise Development in Asia,” by providing the gateway to the entry and export of world class-quality brands, products and services from Asia to the rest of the world and vice versa.

The exhibition, Orbeta said aims to promote Philippine franchises in the international market, as well as promote international franchises to the Philippines.— Ehda M. Dagooc

Homegrown companies can easily expand and expect fast growth through adopting franchise scheme in their businesses.

PFA vowed to assist micro, small and medium enterprises (MSMEs) with high potential to franchise, Orbeta said emphasizing that the establishment of the “incubation area” in the expo is one of its programs to help the MSMEs take advantage of the opportunities in franchising.

To date, the Philippine franchising industry employs more than one million Filipinos, including suppliers and allied services that create indirect employment.

In 2011, industry estimate generated by the franchise industry hit US11 billion led by food, retail and service sectors.

Philippines brands that are able to succeed in the international market through franchising, include; Jollibee Foods Corporation, Max’s Restaurant, Penshoppe, Bench, Chowking, Goldilocks, Red Ribbon, among others.

Cebu-grown brands that are now able to expand nationally and even globally include; Bo’s Coffee, and Islands Souvenirs Inc., among others.

PFA has also inducted new members of the PFA-Cebu chapter recently to strengthen Cebu’s franchising industry.

The franchise business contributed about five percent of the country’s Gross Domestic Product (GDP). (FREEMAN)