THE Hungarian owned retail chain Coop was named Franchise of the Year 2007, by the Hungarian Franchise Association (MFSz), the organization announced on Monday (Jan 28), the second time the award has been presented.
The 11-year-old Coop chain has some 3,000 shops, in 1,650 cities and villages throughout Hungary.
The headcount of the company’s franchisees is close to 1,000, with their largest partner running 120 stores.The aggregate revenue of the franchise chain was Ft440bn ($ 2.5bn) in 2007, topping its previous year’s revenue by some 10%.
As the MFSz highlighted when announcing this year’s winner, dynamic growth in the turnover is not a result of a significant increase in the number of stores,But in positive changes of efficiency at existing partners and at the franchise holder.
Although the 100% Hungarian owned company is continuously looking for ways of further expansion, representatives of Coop noted that there is no more room for growth within Hungary, because the chain already covers the whole market.
And while other Hungarian-owned retail chains, like CBA, may go abroad and aim for regional expansion, Coop will, at least for now, stay within the country’s borders.
One reason for that is that, in several European countries, there already exist retail chains named Coop, meaning the Hungarian newcomer would be unable to launch a businesses there under its own name.
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