KUALA LUMPUR (June 19): The Malaysian Franchise Association (MFA) has targeted the franchise industry to contribute RM35 billion to the country’s gross domestic product (GDP) by 2020 compared with RM32 billion last year.
Chairman Datuk Radzali Hassan said the target is achievable following the growth of various export products to foreign markets.
He said the trend of the franchise industry is still favourable even during the current uncertain economic environment with many constraints and challenges, as shown by a recent exhibition here which saw overwhelming response from association members, as well as local and international franchise companies.
Thus, he urged the MFA members to capitalise on the opportunities provided by the association to expand their business further.
“We (MFA) have more or less 66 products that have been exported to-date. If you look at the number of MFA membership, it’s not that many but in terms of achievement in business expansion, it’s very encouraging whereby we have some 4,200 outlets in overseas markets.
“Hence, MFA wants to encourage more local franchises to join the association to spur healthy competition in efforts to elevate the level of business success and attain a better quality franchise sector,” he told reporters at the launch of the Malaysia Franchise Awards 2019 here today.
The awards ceremony will be held on Oct 4 to give recognition to franchise entrepreneurs who have achieved excellent performance as well as contribute to the growth of the country’s franchise industry.
Among the award categories are Franchisor of the Year, Master Franchisee of the Year, International Franchisor of the Year, Franchisee of the Year and Open category specifically for the Media and Graduates.
Participation from journalists and editors are encouraged to win the Media category which are divided into two categories — Best Journalist and Best Franchise Industry Article Writing.
Radzali said besides the GDP contribution target, the MFA also gives priority to graduates and women to venture into the franchise industry by providing them with early exposure to the business world and at the same time generate income for the nation.
“Since a few years ago, MFA had also been involved in various entrepreneurial programmes at university level to encourage graduates to join the franchise industry.
“The association gives the graduates exposure to franchising, invite them to franchise exhibitions and ask them to formulate a franchise business plan,” he said.
In fact, this year, the MFA is giving recognition to the graduates with the Best Graduate Franchise Business Plan Award, which can become a platform for them to venture into business.