Alexandre Rocha*
São Paulo – Showing the way for opening franchises abroad, especially in the Arab countries. This is the aim of the seminar which the Arab Brazilian Chamber of Commerce, the Brazilian Export and Investment Promotion Agency (Apex) and the Brazilian Franchising Association (ABF) are promoting today (29) at the auditorium at the Chamber in São Paulo.
"The Chamber and Apex are holding a series of events together this year and the seminar already indicates a continuity in the partnership for 2007," said the president of the Arab Chamber, Antonio Sarkis Jr. According to him, the two entities plan on promoting next year activities in the Arab countries with companies interested in opening international franchises.
The seminar "The Ways to Internationalisation of Franchises in the Arab World" is directed to entrepreneurs with this kind business in mind. In all, 60 people enrolled. "This is a new kind of action," said Monique Sallas from Apex, who will participate in the event.
According to her, to promote Brazilian franchises, the idea is to use a similar model to that of Moda Brasil (Fashion Brazil), commercial promotion programme that involves the sectors of clothing, shoes, cosmetics and jewels, by holding fashion shows, setting up showrooms and organising business roundtables in certain markets. "This will be the migration of a successful model," added Monique.
Best way
More than explaining how to open a franchise, the seminar will show what is the best way to internationalisation of each kind of company. "It is necessary to identify what is the best way for internationalisation," said the lawyer Natan Baril, specialist in the subject, who will speak of the experiences of great Brazilian brands abroad.
According to him, there are many business options, like franchises, licensing, joint ventures, naming a distributor, direct purchases and sales, etc. For Baril, you have to figure out the best way for each determined kind of company and product.
Brail provides services to companies like Mormaii, of surfing clothes and accessories, and Arezzo, of shoes, including in the Arab world. He gives some advice to those interested in this kind of business. "The negotiation phases is very important and should be done with letters of intentions so that plans are made clear. The Arabs like things on paper," he said.
Registering the brand and patent of the products should be done soon. "When the company has identified the countries in which they are interested, they have to look for the brands and patents and register them both," he added.
The director of Franchises at Arezzo, Mario Goldberg, is going to speak about the feminine shoes manufacturer that has four stores in Saudi Arabia. Like Baril, the executive plans on emphasising the importance of clearly defining the relationship with the franchisee for the business to grow. "The brand is our greatest asset," he remarked.
Market
As well as Sarkis, Monique, Baril and Goldberg, the seminar will count on the participation of Ricardo Camargo and João Baptista da Silva Junior, respectively executive director and director for courses and events at ABF; the lawyer Andréa Oricchio, who will speak of judiciary points of attention to operate in the Arab countries. The secretary-general at the Arab Chamber, Michel Alaby, who will give a lecture on how to negotiate in the Arab market.
"It is a market with a Gross Domestic Product (GDP) of US$ 1 trillion, exports of US$ 531 billion and imports of US$ 292.5 billion, which has been registering elevated growth rates," recalled Sarkis. "We will also speak of the volume of franchises in the Gulf countries. Last year, US$ 1.4 billion were invested in franchises in the region," added Alaby.
The secretary-general at the Arab Chamber will also speak of the Star LLC, company in the ETA Ascon group, from the United Arab Emirates, which is a master franchiser of many brands in the country. A representative of the company will be in Brazil as of Monday (03) looking for Brazilian companies interested in opening franchises in the Arab Emirates.
Seminar agenda
9:30 a.m. – Opening
Antonio Sarkis Jr. (Arab Chamber), Monique Sallas (Apex), Ricardo Camargo (ABF)
9:30 a.m – Understanding Franchising
João Baptista da Silva Junior (ABF)
11:30 – Models of Franchises
Wagner Lopes de Almeida (Global Franchise Net)
12:30 – Lunch
14:30 – How to negotiate with the Arab countries
Miche Alaby (Arab Chamber)
15:30 – Experiences of great Brazilian brands abroad
Natan Baril, lawyer
16:45 – Judiciary points of attention to enter the Arab countries
Andréa Oricchio, lawyer
17:15 – Internationalisation of Arezzo: comparative study Venezuela x Arabia
Mario Goldberg, franchises director at Arezzo
*Translated by Silvia Lindsey
