Foxconn Technology Group is encouraging employees to return to their hometowns to open retail stores in a new franchise drive. Picture: A store forming part of Foxconn's "Ten Thousand Galloping Horses" plan. (Photo/CFP)
Foxconn Technology Group, the world's largest contract manufacturer of consumer electronics, will invest around 300 million yuan (US$45 million) to help its employees open a chain of about 1,000 electrical appliances stores across China next year, the company's officials said Monday.
Foxconn is expected to provide the 300 million yuan financial support with every employee interested in opening a store expected to contribute 90,000 yuan (US$13,500) seed money, Reuters news agency reported.
The "Galloping Horses" program is designed to encourage employees to return to their hometowns and start their own businesses. Foxconn Chairman Terry Gou has already spoken publicly about the project several times.
Sources say the program is seen by industry experts as an important move for Foxconn as it attempts to expand its chain of electronics retail stores across China.
Under the program, Chinese employees who have worked with Foxconn for over five years are eligible to apply for a franchise.
The first electrical appliances store under the program was opened on May 8 in the company's Longhua factory complex in Shenzhen. The store, which caters only to Foxconn employees, boasts a floor area of more than 200 square meters and sells mainly 3C (Computer, Communication and Consumer electronics) products.
Foxconn has also opened such employee-run stores in Zhejiang, Shandong, Hunan and Hubei.
Foxconn currently has 780,000 employees in China; more than 6,000 employees have already expressed interest in opening stores in their hometowns, according to Reuters.
Foxconn Technology Group 富士康科技集團