going international for the first time. when to consider international expansion when to consider...
TRANSCRIPT
Going International for the First Time
bull When to consider international expansionbull Checklist prior to launching your international programbull Potential ways to enter foreign marketsbull Identifying which countries might be right for your brandbull Identifying and qualifying internationalcandidatesbull Costly mistakes to avoid
When Should you Consider International Expansion
bull Being opportunistic versus realistic bull Franchising ldquowhat you knowrdquo bull Integrate international development
into your business planning process bull Ensure your domestic and
international strategies complement rather than compete with each other
Questions to Ask Before Committing to an International Development Strategy
bull Do we understand the commitment that is required in terms of time resources and peoplebull Is our product or concept well suited to international marketsbull Does our management team have any experience outside our home country
International Development Strategies
bull A variety of options are available for international expansion including
ndash Direct entry via company-owned operationsndash Joint-venture relationshipndash Direct Single-unit franchisingndash Area development franchisingndash Master franchising
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
bull When to consider international expansionbull Checklist prior to launching your international programbull Potential ways to enter foreign marketsbull Identifying which countries might be right for your brandbull Identifying and qualifying internationalcandidatesbull Costly mistakes to avoid
When Should you Consider International Expansion
bull Being opportunistic versus realistic bull Franchising ldquowhat you knowrdquo bull Integrate international development
into your business planning process bull Ensure your domestic and
international strategies complement rather than compete with each other
Questions to Ask Before Committing to an International Development Strategy
bull Do we understand the commitment that is required in terms of time resources and peoplebull Is our product or concept well suited to international marketsbull Does our management team have any experience outside our home country
International Development Strategies
bull A variety of options are available for international expansion including
ndash Direct entry via company-owned operationsndash Joint-venture relationshipndash Direct Single-unit franchisingndash Area development franchisingndash Master franchising
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
When Should you Consider International Expansion
bull Being opportunistic versus realistic bull Franchising ldquowhat you knowrdquo bull Integrate international development
into your business planning process bull Ensure your domestic and
international strategies complement rather than compete with each other
Questions to Ask Before Committing to an International Development Strategy
bull Do we understand the commitment that is required in terms of time resources and peoplebull Is our product or concept well suited to international marketsbull Does our management team have any experience outside our home country
International Development Strategies
bull A variety of options are available for international expansion including
ndash Direct entry via company-owned operationsndash Joint-venture relationshipndash Direct Single-unit franchisingndash Area development franchisingndash Master franchising
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Questions to Ask Before Committing to an International Development Strategy
bull Do we understand the commitment that is required in terms of time resources and peoplebull Is our product or concept well suited to international marketsbull Does our management team have any experience outside our home country
International Development Strategies
bull A variety of options are available for international expansion including
ndash Direct entry via company-owned operationsndash Joint-venture relationshipndash Direct Single-unit franchisingndash Area development franchisingndash Master franchising
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
International Development Strategies
bull A variety of options are available for international expansion including
ndash Direct entry via company-owned operationsndash Joint-venture relationshipndash Direct Single-unit franchisingndash Area development franchisingndash Master franchising
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
International Development Strategies
bull Joint-Venture Development ndash High risk moderate reward strategy ndash Can be used to avoid foreign ownership restrictions or to ldquoacquirerdquo local knowledge within the ownership group ndash Partner roles must be clearly defined ndash Many joint-ventures fail ndash Dissolving the relationship is often difficult
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
International Development Strategies
bull Direct Single Unit Franchising ndash High degree of control ndash Difficult to recoup initial development costs related to entering the country ndash Challenge of managing many relationships from a distance ndash Challenge of implementing a cohesive brandStrategy across different markets ndash More difficult to negotiate in-country supplieragreements
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
International Development Strategies
bull Area Development Franchising ndash Allows greater direct control over unit-level quality ndash Can create a level of ldquohealthy competitionrdquo ndash Fewer relationships to manage than single-unit franchising ndash Ability to segment ownership groups by markets or regions within the local country
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
International Development Strategies
bull Master Franchising ndash Most common form of international development ndash Often over-used ndash Ideal for countries having larger populations or core markets which are geographically distant ndash Success is reliant on selecting the right master franchisee ndash Master franchisee should also operate locations ndash Sub-franchisees could be area developers or single unit franchises
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Identifying Countries for Expansion
bull Have you received requests from abroadbull What market criteria matter for your brand entrybull How do you determine the ldquoriperdquo markets what is the prioritization and at what rate do you plan to growbull Do your competencies match the target countries selection
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Identifying International Candidates
bull Potential International Franchisee Candidate Groups ndash
ndash Successful companies and groups particularly from these sectors
bull Multi-Unit developers of other non-competing franchise systems
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Considerations For Initiating An
International Expansion Effort
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Discussion Topics
bull Why International bull When Is The Right Time To Expand bull Organizational Readiness bull Developing The Expansion Plan
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Global business amp franchise map
Number of businesses franchise systems
USA 15 million 3700UK 3 million 750Australia 1 million 1200China gt 20 million 2000India gt 25 million 1000
Considerations
1048707 Business know-how is valuable1048707 Capitalization strategy1048707 Economic opportunity for all1048707 Driver of employment1048707 Development of people1048707 National amp international growth
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BUSINESS
KEY REASONS FOR FAILURE
Expanding an immature businessInappropriate business modelIrrational country selectionIgnoring market nuanceInadequate capital baseInsufficient senior resourceInadequate start-up strategy
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Going GlobalBuilding a Serious International Business
Factor Immature Expansion ready
Cash flow Weak position Strong cash-flowCapital Under-capitalized Capital readily availableSystems and processes Under development Locked downHuman resources Stretched Senior resources availableDomestic growth Substantial remaining Exhausted
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
ORGANIZATIONAL READINESS
bull Mindset needed to truly plan a global expansion (CEO to Reception) bull Education preparation and planning paramount to your successhellipdo not underestimate the amount of time this takes bull Understanding negotiations in different cultures bull Profitable domestic operations bull Strong franchisee validation
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Identifying International Market Opportunities
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
What Does Your Franchise Need To Succeed In the Diverse Global Franchise Market
bull A business plan that focuses on the right markets for your particular franchise bull An assessment of the potential of these markets to produce a good Rate Of Return for your franchise bull Clear differentiation from similar businesses bull Documented training support and marketing programs for your international licensee
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Factors To Consider When Deciding Which Countries To Enter
bull Rule of Law bull Country Stability bull Government Involvement bull Intellectual Property Protection bull Can you easily get your fees out bull Does the customer base fit your franchise bull Potential To Achieve An Acceptable ROI
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Strong International Franchise Sectors For 2010
bull Automotive ndash After market products and services bull Childrenrsquos Education ndash At all levels bull Commercial Services - Facility management Cleaning Handyman Security bull Personal Services ndash Handyman Maid Mobile bull Retail ndash To fill large malls in emerging markets bull Specialty Food ndash Mall anchor concepts special brands ethnic foods well known pizza brands
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Strong International Franchise Markets For
20102011
bull The United States
bull Brazil ndash Strong growth high level of franchising
bull China ndash Focused on 1st and 2nd Tier Cities
bull India ndash Strong desire for food and retail brands
bull Expected Growth Markets For Franchising in 2011
bull South Africa Turkey and Vietnam
bull EU amp Central Europe
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Budgeting and Planning for
International Franchising
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
When should a company begin planning for international expansion
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
WHEN A COMPANY HAS A CERTAIN
bull LOCATION(S)bull PROFITABILITYbull NUMBER OF UNITSbull SIZE OF HOME MARKETbull GOOD PROSPECTS ARE AVAILABLE
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
WHAT SHOULD ANINTERNATIONAL
FRANCHISEEXPANSION
PLAN INCLUDE
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
bull ndash specific countriesbull ndash regionsbull ndash markets near existing
operationsbull ndash well qualified franchise
candidatesbull ndash markets where products offered
by the franchise are most popular
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Important Consideration
What portion of the marginalexpense of entering a new
foreign market should afranchisor expect to recoupfrom initial franchise fees
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
How long should a franchisor
expect to wait beforebreaking even on itsinvestment in a new
foreign market
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Elements of aninternational expansion
franchisorssometimes overlook or
undervalue
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
ndash market research to evaluate viability bull preliminary
bull at execution stagendash franchising strategy
bull master bull area development
bull joint venture bull unit
ndash resources needed bull operational
bull financial bull human
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
What resources are available to
help franchisors plan forInternational expansion
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Budgeting and Planning Resources and Market Information
bull IFA - wwwfranchiseorg bull US Commercial Services bull CIA World Fact Book bull Economist country briefings bull American Chambers of Commerce bull Local franchise and trade associations bull Prospective franchisees bull International banks bull Multinational suppliers bull Law and accounting firms bull International Council of Shopping Centers bull Consultants
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
What roles could international
franchise consultants play inhelping to develop
and implement internationalexpansion plans
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
What process will you use to prepare a long range international budget in the following areasndash trademarkslegalndash procedure manualsndash translationsndash operational support ndash supply chainndash equipment and furnishings
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Sources cited for this presentation
IFA 50th annual convention Feb 05-08-2010Ned Lyerly SVP - CKE Restaurants
Kay Ainsley MD - Michal H Seid AssocKevin Derella SVP ndash Coverall Health Based Sys
John Drig President ndash Instant ImprintsCarl Zwisler Attny - Gray Plant Mooty
Rose Nichols Zimake Intrsquol Deve - Dairy QueenWilliam Le Sate CEO ndash Le Sate Intrsquol
Lee Vala President - Vala InteractiveWilliam Edwards CEO ndash EGS LLC
Charlie Weeks VP ndash Outback SteakhouseRod Young Executive Director DC StrategiesJason Zickerman CEO ndash The Alternative Board
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-
Thank you
- Slide 2
- Slide 3
- Questions to Ask Before Committing to an International
- Slide 5
- Slide 6
- Slide 7
- Slide 8
- Slide 9
- Slide 10
- Slide 11
- (2)
- Slide 13
- Slide 14
- GOING GLOBAL BUILDING A SERIOUS INTERNATIONAL BU
- Slide 16
- Slide 17
- Identifying International Market Opportunities
- Slide 19
- Slide 20
- Slide 21
- Slide 22
- Budgeting and Planning for International Franchising
- Slide 24
- WHEN A COMPANY HAS A CERTAIN bull LOCATION(S) bull PROFITABILITY bull N
- WHAT SHOULD AN INTERNATIONAL FRANCHISE EXPANSION PLAN INCLUDE
- Slide 27
- Important Consideration What portion of the marginal expense
- How long should a franchisor expect to wait before breaking eve
- Slide 30
- ndash market research to evaluate viability bull preliminary bull a
- Slide 32
- Budgeting and Planning Resources and Mark
- What roles could international franchise consultants play in h
- What process will you use to prepare a long range internat
- Sources cited for this presentation IFA 50th annual convention
- Thank you
-