Mission Description:

The United States Department of Commerce, International Trade Administration, U.S. Commercial Service, Office of Export Promotion Services, in cooperation with the International Franchising Association, is organizing a Franchising Trade Mission to Singapore and Shanghai, China, September 17-23, 2003. The Trade Mission will target companies in the US franchising sector. The focus of the delegation will be to match participating U.S. companies with pre-screened partners in these markets. The Trade Mission will also provide participants the opportunity to participate in the largest franchising trade show in Asia, Global Franchising 2003.

Commercial Setting:

Singapore:

Singapore is the franchising leader in the region and has one of the highest per capita incomes in the world. With its superior infrastructure, Singapore serves as the major distribution center for products and services entering the region. Singapore's Global Franchising 2003 show offers U.S. franchisers wishing to enter the Asia Pacific region an excellent venue to test the market.

Shanghai:

Both the franchising business and related sales are growing fast in China. According to statistics from the China Chainstore and Franchise Association(CCFA), franchisers in China totaled 1,000 in 2001, rising 40% from the year before. Franchising sector sales are also increasing 40% each year. More than 50 industries have applied for franchise operations, including the traditional sectors of catering, retailing and other services such as education, commercial services and automotive care. The top areas of interest are fast food, restaurants and retail stores. It is important that the products and services suit the Chinese culture and customer preference.

Mission Goals:

The goal of this trade delegation is to match-up new-to-market U.S. firms with potential overseas franchising partners. Participants will meet with pre-screened investors and entrepreneurs interested in entering into a master franchise or area developer agreement for a specified region.

Mission Scenario:

The trade mission will spend four days in Singapore and two days in Shanghai, China. At each stop, the Commercial Service will provide a market briefing highlighting opportunities in the sector, schedule one-on-one appointments with potential business partners for each participant, and arrange hospitality events to introduce participants to key business and industry officials. In Singapore, the delegation will have an opportunity to participate in Global Franchising 2003. All meetings will be held on the show floor in a specially designated area. Each company will have its own separate meeting space. Participants will also have the option of purchasing a six square meter booth in the US Pavilion on the show floor for an additional fee of $2,500.

Tentative Timetable:

September 16	Arrive Singapore
September 17	Exhibit at Global Franchising (Optional) Business appointments
September 17	Evening Reception
September 18	Exhibit at Global Franchising (Optional) Business Appointments
September 19	Exhibit at Global Franchising (Optional) Business Appointments
September 20-21	Weekend, Depart Singapore Arrive Shanghai
September 22	Business Appointments Evening Reception
September 23	Business Appointments Mission concludes

Criteria for Participation:

• Relevance of the company's business line to the mission scope and goals
  
• Potential for business in the selected markets
  
• Timeliness of the company's completed application, participation agreement, and payment of the mission participation fee
  
• Provision of adequate information on the company's products and/or services and communication of the company's primary objectives to facilitate appropriate matching with potential business partners
  
• Certification that the company's products and/or services are manufactured or produced in the United States or if manufactured/produced outside of the United States, the product/service must be marketed under the name of a U.S. firm and have U.S. content representing at least 51% of the value of the finished good or service.

The mission will be promoted through the following venues: the Export Assistance Centers and Teams; the Federal Register; relevant trade publications; relevant trade associations; past Commerce trade mission participants; various in-house and purchased industry lists, and via the Commerce Department trade missions calendar - www.ita.doc.gov/doctm/tmcal.html - as well as other Internet websites.

Any partisan political activities of an applicant, including political contributions, will be entirely irrelevant to the selection process. The participation fee will be $3,500 per company, excluding travel and lodging. Companies wishing to purchase a six square meter booth space in the US Pavilion and exhibit on the show floor of Global Franchising 2003 can do so for additional $2,500. Participation is open to the first 10 qualified U.S. companies. Recruitment will begin immediately and will close on July 18, 2003. Applications received after that date will be considered only if space and scheduling constraints permit.

Contact Information:

Sam Dhir, Project Manager
U.S. Commercial Service
Export Promotion Services
U.S. Department of Commerce, Room 2118
Washington, D.C. 20230
Tel: (202) 482-4756
Fax: (202) 482-0178
E-mail: sam.dhir@mail.doc.gov