Brief introduction of franchise development

Brief introduction to the development of franchising in China

From the very beginning, franchising in China was mainly based on the second generation franchising, that is, franchising in full commercial mode, instead of starting from the first generation franchising of foreign commodities and trademarks, and gradually developing to the second generation franchising. Even in the United States, the first generation franchise still accounts for 30%-40% of the whole franchise. Franchising in China mainly started from the retail, catering and service industries in the tertiary industry, while franchising abroad generally started from the manufacturing industry, still accounting for a certain proportion.

By the end of 2006, there were more than 2,600 franchise systems and nearly 200,000 franchised stores in China, increasing by 13% and 16% respectively over the previous year. Franchised enterprises provide more than 3 million jobs for the society. Since 2000, franchising has developed steadily and rapidly in China. The proportion of franchise in chain enterprises is increasing. By the end of 2006, enterprises adopting franchising accounted for 69% of the total number of chain enterprises. Among them, catering and service franchise enterprises account for 95% and 83% of the total number of chain enterprises in their respective industries, and retail industry accounts for 59%. Among the top 100 chain enterprises released in March, 2007, 46% of them engage in franchising, and the sales scale of franchising reaches 654.38+0.02 billion yuan.

The industry coverage of franchising is getting wider and wider. Franchising in China has covered all 13 categories and more than 80 sub-sectors and formats. The areas not covered are because China's economic and social systems and consumption habits are different, and they mainly focus on commercial services, such as finance, taxation, insurance, dry cleaning, auditing, accounting, truck rental, etc., all of which serve commercial organizations. For example, the dry cleaning industry, such as Carlisle dry cleaning in Xi 'an, has developed rapidly through franchising. And some family services, such as lawn care, sanitary pest control and other services.

On May 1 2007, the Regulation on the Administration of Commercial Franchise (hereinafter referred to as the Regulation) was formally implemented, aiming at standardizing commercial franchise activities and promoting its healthy and orderly development. In order to ensure the implementation of the Regulations, on the basis of in-depth investigation and extensive consultation from all sides, the Measures for the Administration of Commercial Franchise Filing and the Measures for the Administration of Information Disclosure of Commercial Franchise were promulgated. The promulgation of these two measures is the implementation of the specific measures of the Regulations and an important guarantee for standardizing franchise activities and promoting the healthy and orderly development of commercial franchising.

Judging from the amazing performance of franchising in China in just 20 years, the growth momentum of franchising in China is growing. From the foreign and domestic franchising practice, it can be said that the development of franchising in China will have an infinitely broad space!

Brief introduction to the development of international franchising

1: domestic and international business, about 20 countries, with more than 1000 franchisees.

2. About 15 countries have more than 200 franchisees operating in China.

About 50 countries have organized franchise associations.

4: 1998 franchise sales reached 65438 USD +0,1900 million USD (870 billion RMB).

5:4000 franchisees,170,000 franchisees.

Current international franchise situation:

1: USA

Franchising is the fastest growing and most pervasive business model.

About 40~50% of the retail sales come from franchisees.

The annual sales reached 654.38+000 billion USD.

At present, about 75 industries adopt franchising as the distribution mode.