Making full use of the Internal Market’s Potential --- Development of SME network

1. Making full use of the Internal Market’s Potential --- Development of SME network cooperationacross EU Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

2. SME’s in Europe • Provide more than two-thirds of total jobs in the private sector • This means SME’s employ more than 100 million people • The overwhelming part of new jobs comes from dynamic SME’s Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

3. Latest trends in the European Union • Since May 2004 the European Union has 25 member states, and • Further members will join within the next years • Globalisation asks for a better understanding • of the international markets • Steadily growing competition • Growing complexity in a competitive business environment Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

4. The challenge How to properly represent, defend and support the interest of these SME’s in an increasingly competitive environment Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

5. CEA-PME We are a politically independent European Association that: 1. Defends the interests of the Small and Medium Sized Enterprises 2. Fights for an improved economic and political framework at European as well as regional and national levels 3. Influences legal acts and regulations Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

6. 4. Creates a platform to express the positions of small and medium sized enterprises 5. Gives practical support to profit from EU financed projects and Programmes 6. Supports small and medium sized companies in their expansion into the Internal market of the European Union Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

7. What are we really doing? • Practical support is a key issue • Identification of projects • Finding of right local partners • Specific support in dealing with • European Authorities • Political lobbying on all levels • Pressure groups • Press conferences • Special Services • Business Trips • Setting-up of Committees • Conferences , Seminars Cooperation with federations outside EU frontiers! Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

8. Practical Support is a key issue Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

9. Inquiry with 150 cross border transacting companies on the organisation of sale within the European Market – November 2005 The most frequently mentioned forms of market exploitation • The „direct export“ • The classical method by using the „Importer“ • The own branch office for the distribution in the • country of destination • a) the mother house depending branch office • b) the legally independent branch office Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

10. Only about 10 % of the interviewed companies have chosen the „Direct Export“ – The cross border business Advantages and Disadvantages of the Export Advantages and Disadvantages of the Export Alternatives Alternatives 1. Direct Export Product Ltd Border K 1 K 2 K 3 K 4 07.11.2005 07.11.2005 www.intergest.com 3 3 www.intergest.com Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

11. The most frequently mentioned advantages and disadvantages of “Direct Export”: Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

12. About 25 % of the interviewed companies have mentioned the “Importer” as the most efficient solution: Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

13. The most frequently mentioned advantages and disadvantages of choosing an Importer: Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

14. About 50% of the interviewed companies have mentioned that the own branch office would be the most efficient solution for marketing reasons: Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

15. The remarkable high costs were mentioned as the major disadvantage: Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

16. All solutions have considerable disadvantages: • 65% of interviewed companies prefer an own local branch office • Too expensive Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

17. Think Global – Act Local • Administration – all in one hand • Local Know-how • Local contacts Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

18. The advantages • All advantages of an own local branch office without having to • face the high amount of “Start- Up Investments” • Know – How of local specialists (Tax, Law, Banks etc.) • Absolute transparency through individual monthly reporting • Only one contact person-communication in the company`s first language • The same system in all countries • Clearly calculable and estimated costs Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

19. Our Services • Individual consulting and support of enterprises for the invitations to • tender for public projects in the EU–Memberstates 2. Complaints and legal Advice 3. Outsorcing, Management, Human Resources and administrative questions in all EU – countries 4. Influencing the EU legislation process 5. Political lobbying and public relations 6. Business-Event Management Workshop on Competitive Power Organised in co-operation with the Bulgarian Chambers of Commerce Sofía, February 20th, 2006 Marc Ambrock - CME - PMA

20. Thank you for your attention! For further information: Mr. Marc Ambrock General Director of CEA-PME Spanish Representation c/Diputación 237, 8º 3ª 08007 Barcelona/Spain Tel.: +34-93-467.49.10 Fax: +34-93-487.38.14 E-mail: marc.ambrock@intergest.es