As CEO of a Singapore-based franchise consultancy, Albert Kong is well-placed to answer our questions about franchising in this dynamic and fast-paced country.
Singapore is a natural springboard for many foreign franchisors because of its strategic geographical locationAlbert Kong
AK: Franchising is a popular method for Singapore businesses to
expand locally and overseas. The Singapore government continues to support franchising and provides several funding schemes to encourage franchise firms to go international.
AK: At Asiawide Franchise Consultants we provide the following services: 1) Assist prospective franchisors to develop a strategically sound franchise package; 2) Help existing franchisors improve on their franchising via an operations audit; 3) Find suitable franchisees for franchisors (and help prospective franchisees find their suitable franchisors); 4) Promote franchising via the world’s only English- Chinese franchise magazine (published since March 1994); 5) Lecture, when invited, at tertiary
AK: Since the late ‘70s. Petrol companies were the earliest batch. Then came McDonalds and KFC. In the early and mid ‘80s, they were followed by local companies starting to franchise.
AK: Singapore is a natural springboard for many foreign franchisors because of its strategic geographical location – its sea port ranks among the top three, and Changi International Airport is renowned. Singapore is also trusted for its banking, logistic, intellectual property, legal, medical, and other services. In addition, the Singapore government provides a lot of incentives for foreign companies to house their regional headquarters in the country.
AK: McDonalds, YUM! (KFC, Pizza Hut), Subway, Tony Romas, Starbucks, etc. There are approximately 500 foreign brands operating in Singapore.
AK: There have been three top challenges:
1) Small domestic market (but big tourist market);
2) High rentals;
3) Shortage of labor (waiters, cleaners, service staff).
AK: There are no franchise-specific regulations.
AK: Franchising's future is bright indeed because of the increasing number of people wanting to become entrepreneurs, and the government’s continued support for the franchising fraternity.
Singapore is a natural springboard for many foreign franchisors because of its strategic geographical location – its sea port ranks among...