Fostering Local Business Expansion and Success
Querétaro, Qro. With the goal of encouraging new business creation, local efforts aim to boost the franchise model as a means for economic units’ growth and expansion, according to Marco Antonio Del Prete Tercero, the Secretary of Sustainable Development (Sedesu).
During the launch of the Diploma in Business Development and Expansion under the Franchise Model, co-hosted by Sedesu and Universidad Mondragón, Del Prete Tercero emphasized that while attracting foreign direct investment is a priority, fostering local business development is equally important.
A Focus on Local Business Development
“One of our main objectives is to encourage the creation of new businesses and help existing ones become more successful. Although we are focused on attracting investment to the state, we also aim to develop local businesses capable of competing globally. The franchise model is a proven successful approach,” he stated.
Instead of attracting franchises, the primary goal is to enable local brands to grow within Querétaro and expand to other markets, Del Prete Tercero explained.
“This is the third edition of this initiative (the diploma) to develop franchise models, ensuring that the benefits remain in Querétaro—not just expansion, as many are state-level businesses likely to multiply their presence with more branches, but also expansion,” he added.
Professionalization: The Challenge
Currently, 49 local brands operate as franchises, according to Angélica González Flores, General Director of Grupo Concepto.
A significant challenge for businesses transitioning to franchises is professionalizing their processes, as many start as family-owned ventures without establishing operational manuals or identifying costs.
“Many businesses are formed as family ventures, some were created out of necessity and lacked proper planning, so they grew organically. When they join this diploma program and the franchise model, they begin to see the need for cost identification, operational manuals, and legal tools,” explained a franchise specialist.
In Querétaro, 1,300 establishments operate as franchises, generating 11,000 direct jobs.
Diploma Participants
In this context, Sedesu announced the third edition of the diploma to promote franchise development through the Competitiveness Program, aiming to professionalize local businesses.
The third edition includes 13 brands from various sectors, who will attend 135 hours of classes at Universidad Mondragón starting September 20. It is estimated that 50% of the participants will adopt this business model.
Through the first three editions, 32 brands have participated. Notably, a Japanese restaurant started with one branch and now has four branches and a distribution center, according to González Flores.
The first two editions focused on restaurant brands, while this edition expanded to all sectors, including towing businesses, construction materials, ice cream shops, cleaning chemical products, and more.
During the diploma presentation, Universidad Mondragón México’s rector, Arturo Alvarado Hierro, explained that 12% of their students develop an entrepreneurial project, with most continuing their projects.
Key Questions and Answers
- What is the main objective of Querétaro’s efforts? The primary goal is to foster local business development and expansion through the franchise model while also attracting foreign direct investment.
- How many local brands currently operate as franchises in Querétaro? There are 49 local brands operating as franchises, according to Angélica González Flores, General Director of Grupo Concepto.
- What challenges do local businesses face when transitioning to franchises? A significant challenge is professionalizing their processes, as many start as family-owned ventures without establishing operational manuals or identifying costs.
- How many brands have participated in the diploma program so far? Through the first three editions, 32 brands have participated in the diploma program.
- What percentage of participants is expected to adopt the franchise model? It is estimated that 50% of the third edition participants will adopt this business model.
