Government Role In Retail Sector Promotion
The process of promoting processed items export zone, processed Agricultural-products Export Zones (AEZs) and food parks, training retail entrepreneurs on record keeping, storage techniques as well as merchandising, provide and enforce fixed timelines for retail export clearance, as well as favorable legislation can help in promoting or developing a country's retail sector in other countries. A methodology showing how we arrived at selecting the above listed actions and a brief explanation of how they promote and develop a country's retail sector in other countries is as follows.
In order to unearth the actions that governments can take to promote and develop a country's retail sector in other countries, our research team scoured through industry reports, journals, market surveys for precompiled information. Unfortunately, there was no precompiled list of actions needed to promote or develop a country's retail sector in other countries. We only unearthed several case studies on measures taken to improve or establish a country's retail sector in other countries.
Next, we researched through credible databases such as American FactFinder, Retail in Europe database, Retail Tenant Database, among other databases for the analysis or review of past actions as well as the results of government or agency efforts to promote or develop a country's retail sector in other countries. Unfortunately, there were no reviews that rated a government or agency actions aimed at improving or establishing a country's retail sector in other countries. We only unearthed an All Franchise publication analyzing USAID franchising funding programs that occurred in former Russian Republics.
We then tried to research for pieces of information such as ideas from case studies that have helped some governments in promoting and developing their country's retail sector in other countries. We unearthed several case studies such as those of India among other countries. We have reported on significant findings discovered in the course of our research as follows.
1. ESTABLISHING/PROMOTING EXPORT ZONES
According to the Journal Of Army Institute Of Management Kolkata, India has increased it's FDI by 27.9% yearly for the period between 2016 to 2017. This increase in FDI is due to the establishment of 60 well-equipped Agricultural-products Export Zones (AEZs) and food parks. The export zone boosts India's agricultural as well as processed food exports.
2. TRAINING GLOBAL RETAIL ENTREPRENEURS
Governments and their agencies across the globe can engage in educating small scale entrepreneurs operating in the global retail industry. For a country such as Pakistan to benefit from having it's retail sector in other countries, it needs to have more professionals available to manage the affairs of the retail industry. The first line of duty should be for the government or it's agencies to support the adequate training of existing small scale entrepreneurs and workforce. This training will make the retail sector organized in a real sense. Training in this sector can be formal covering record keeping, storage techniques as well as merchandising.
3. ENFORCING FIXED TIMELINES FOR CLEARANCE
Retail exporters are usually required to adhere to some strict timelines to meet the expectations of customers. Courier exports originating from India are processed manually. Even for small parcels/consignments, customs often insist on a No Objection Certificate (NOC) and this delays the process of shipment. In the absence of clear guidelines to help in such cases, small scale exporters only have the option of waiting for long and tracking their consignment through the websites of courier companies. Governments and their agencies can provide and enforce fixed timelines for retail export clearance for cases where exporters must meet strict deadlines in order to meet/exceed customer expectations.
4. Programs and Incentives
The United States Export Assistance Centers (USEACS) operates in over 100 locations throughout the United States and across the globe. USEACS has about 75 international offices. USEACS and some other agencies/specialists advice companies on the procedures involved in exporting. They also help in assessing product export potential, identifying markets, locating potential overseas partners, and resolving customs clearance as well as other issues related to trade. Government agencies can follow similar procedures to promote and develop their retail presence in other countries.
5. POSITIVE LEGISLATIONS
Improvements such as favorable legislation on franchise regulations, as well as establishing supportive organizations, trade associations/organizations and franchise education programs can help a country promote and develop it's retail sector in other countries. In some cases, foreign governments have participated in funding programs that encourage economic development via retail franchising in some emerging economies. An example of an agency that has combined these actions is the USAID programs in the defunct Russian Republics.