2007-01-02
Many franchisors have approached international franchising on a „no risk” approach. They have mistankenly believed they pocket a franchise fee, draft an agreement that shifts all the burdens and risks to the franchisees and implement their system without any changes. They were wrong.
Before you start expanding your franchise internationally plan everything carefully. Read about the country you are interested in. You should do market research or at least ask domestic experts. Compare your offer to products already present on Polish market. Is there a need for all your services in the country of your expansion (or the possibility to create one)? Who will be your competitors? What are (or may be) the cultural, social implications of your product in the target country? Does your product fit to the market
You should also consider the fees. Aren't they to high? Analyse Poland's economy (Poland - country of chance). Check the average income in Poland, look at franchise market and check the average amount of investment in franchise systems (Report on franchising in Poland 2005/2006). You may be surprised, but the fees that are relevant to your country may be a way to high for your potential franchisees in the country you want to enter.
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