Country Presentation CZECH REPUBLIC Presented by Ivo LAMICH, - PowerPoint PPT Presentation

Country Presentation CZECH REPUBLIC Presented by Ivo LAMICH, president of the CAF World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH Country Presentation: CZECH REPUBLIC REPUBLIC Demographic Data Population: 10.5 million Total area: 78 8 67 km² Population density: 13 3,4 /km² GDP 2010 and latest 2011: $195 bn 3 Q: + 1 , 2 % GDP per capita: $19 200 PPP(Purchasing Power Parity): $19 800 Inflation rate latest 2011: 1,9 % Unemployment rate latest 2011: 8 ,6 % Sources: CSU World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Current industry data: Development of franchising 2000 2011 Employees not available 30 000 Franchisees not available 4366 Franchisors 34 168 Turnover in USD not available not available World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Current industry data: Franchise-sectors 2011 Services 6 1 % gastronomy real estate offices tourism body care and fitness Retail 3 9 % fashion cosmetics and health DIY World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Structure of our association: Members: Number of members in total: 37 full members: 24 • associated members: 5 • consultants/Lawyers: 8 • other members: x • franchisees as members: n o • Board of directors : Ivo LAMICH, Jiri LOSTAK, Lubomir MILEK, Martina PARUSOVA, Halka PAVLIKOVA Source of income: membership fee 73 % • marketing activities 5 % • fair / conferences 22 % • training activities x % • Others x % • World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC 5 best running franchise-systems in our country Brand number of units (2011) Best Drive 173 RE/MAX 125 McDonald´s 88 ALPINE PRO 78 Helen Doron 77 CENTURY 21 65 Švejk Restaurant 49 Yves Rocher 44 World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Successful international franchise -systems in our country (5-6 examples) nr. of units YAMAHA Music schools 242 FORNETTI 190 RE/MAX 125 ALOIS DALLMAYR KAFFEE 80 CENTURY 21 65 World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Best exported franchise-systems (5-6 examples) ALPINE PRO (sport fashion) OXALIS (tea and coffee) Pietro Filipi (fashion) Modrý slon (publishing house) Manufaktura (nature cosmetics) World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Climate for franchising in our country: Number of self employed in 2010: 977 069 Trends in franchising:  the range of franchising systems is growing, particularly systems from EU countries  demand for this way of doing business is increasing , particularly from small and medium entrepreneurs – an alternative for further development  the possibilities and conditions for financing are improving for franchisees  knowledge and awareness of this modern, global and dynamically expanding business method are increasing World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Financing a franchise-system: Government support: - SME support provided by ČMZRB Guarantees - preferential guarantee for investment loan (program Guarantee) - preferential guarantee for investment loan (program Start) Other forms of financial support: NO World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Legal framework: absence of any legal regulation of franchising - Czech Republic = member of EU – legal framework is adjusted to the standards of the EU single market that assures security for investments Czech law - Commercial Code - Civil Code - Act on the Protection of Economic Competition - Trademarks Act EC law - Articles 101 and 102 of the Treaty on the Functioning of the European Union (competition law) - Commission Regulation (EC) No 330/2010 on the application of Article 101(3) of the Treaty on the Functioning of the European Union to categories of vertical agreements and concerted practices World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City

Country Presentation: CZECH REPUBLIC Contact data of our association: CZECH FRANCHISE ASSOCIATION Tesnov 5 110 00 PRAGUE 1 CZECH REPUBLIC Tel: +420 222 513 691 E-mail: caf@czech-franchise.cz web: www.czech-franchise.cz Managing director: Petra RITSCHELOVA President: Ivo LAMICH World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City