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Franchising in Greece Dr. Aris Ikkos JBR Hellas Ltd. Business Consultants
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Franchising in Greece JBR Hellas Ltd.2 A Brief History 1st franchise: mid-70s mid-80s: no more than a dozen current situation –more than 200 franchises –more than 2.000 franchisees –franchise sales: less than 5% of total
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Franchising in Greece JBR Hellas Ltd.3 Why franchise in Greece? High percentage of self-employment Fast growing economy Competitive market Idle cash Maturing Franchise Market Franchise sales: less than 5% of total
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Franchising in Greece JBR Hellas Ltd.4 Type of Franchises
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Franchising in Greece JBR Hellas Ltd.5 Franchisees by Type
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Franchising in Greece JBR Hellas Ltd.6 Reasons for Franchising
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Franchising in Greece JBR Hellas Ltd.7 Pre-franchise Experience
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Franchising in Greece JBR Hellas Ltd.8 Life Cycle of Franchisees
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Franchising in Greece JBR Hellas Ltd.9 Non-Domestic Operations (26%)
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Franchising in Greece JBR Hellas Ltd.10 Cost of Franchised Outlet (th. USD) Business Category RestaurantsRestaurants Food RetailFood Retail Clothing & FootwearClothing & Footwear Home ImprovementHome Improvement Non-food RetailNon-food Retail Health & Beauty CareHealth & Beauty Care Business Aids-ServicesBusiness Aids-Services EducationEducation Entry Fee 3,3 - 50,0 6,6 - 40,0 6,6 - 26,4 3,3 - 16,5 3,3 - 66,6 3,3 - 20,0 In. Investment 16,7 - 500,0 26,7 - 166,7 40,0 - 333,3 26,7 - 66,7 23,3 - 200,0 23,3 - 666,7 16,7 - 266,7 3,3 - 83,3
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Franchising in Greece JBR Hellas Ltd.11 Franchisor Remuneration
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Franchising in Greece JBR Hellas Ltd.12 Interest by Category
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Franchising in Greece JBR Hellas Ltd.13 Top 10 (out of 35 subcategories)
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Franchising in Greece JBR Hellas Ltd.14 Professional Status
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Franchising in Greece JBR Hellas Ltd.15 Ability to Invest (‘000 USD)
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Franchising in Greece Dr. Aris Ikkos JBR Hellas Ltd. Business Consultants
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Franchising in Greece JBR Hellas Ltd.17 The Greek Franchise Market Type of Franchises Active Franchisees by Category Arrangements of Non-Domestic Operations Life-cycle of franchisees Length of franchise agreements Contract renewal - extension Reasons for franchising Establishing of Pilot outlet Entry fee and Initial investment Franchisor remuneration Source: ICAP - Arthur Andersen: Franchising in Greece
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Franchising in Greece JBR Hellas Ltd.18 Franchise Agreements Duration
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Franchising in Greece JBR Hellas Ltd.19 Contract Renewals - 1997
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Franchising in Greece JBR Hellas Ltd.20 Pilot Operation
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Franchising in Greece JBR Hellas Ltd.21 Profile of Potential Franchisees KEM 99 Franchise Exhibition Athens, Jan. 29th - Feb. 1st, 1999 87 Exhibitors –55 Greek –22 International (USA, Italy, France, Canada) 15,000 visitors 5,700 questionnaires
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Franchising in Greece JBR Hellas Ltd.22 Findings Interest by Category Professional Status Age Origin Ability to Invest Ownership of Shop Premises Engagement with the Franchise Method
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Franchising in Greece JBR Hellas Ltd.23 Age
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Franchising in Greece JBR Hellas Ltd.24 Origin
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Franchising in Greece JBR Hellas Ltd.25 Ownership of Shop Premises
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Franchising in Greece JBR Hellas Ltd.26 Engagement with Franchising
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Franchising in Greece JBR Hellas Ltd.27 Source of Visitors’ Profile Picture of Study 7 Categories 35 Subcategories Characteristics: –Professional Status –Age –Origin –Ability to Invest –Shop Ownership –Franchise Engagement
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