Bangkok: The Department of Business Development recently visited franchise and retail operators in the Wat Pho area to address business challenges. They discovered that consumers are exercising caution in their spending, leading to diminished purchasing power, which in turn affects income and profits. SMEs are urging the government to implement economic stimulus measures swiftly and to address the issue of low-quality products to maintain the reputation of Thai goods.
According to Thai News Agency, Ms. Aromorn Sapphaweetham, Director-General of the Department of Business Development, highlighted that this field visit is part of an initiative to collect direct feedback from business owners, incorporate it into relevant business development plans, and support SMEs-an essential employment source in the country.
The Director-General inspected Hia Lek Kaolao Moo Sam Yang Co., Ltd., a company engaged in franchise business development under the Department's program. Since 2024, this company has undergone training in business and franchise standards, expanding to 8 branches nationwide.
Mr. Wasan Uamnuaychai, CEO of the company, shared that businesses are grappling with decreased consumer purchasing power, increased raw material costs, and delivery platform fees surpassing 30%, leading to a notable profit decline. Despite managing costs without employee layoffs, the financial strain persists. He appeals for government intervention through short-term measures like the "Half-Half" program and reduced delivery platform fees to ease the cost burden on businesses.
The Director-General noted that in the Wat Pho shopping district, a favored tourist spot, entrepreneurs observed an economic slowdown and fewer Chinese tourists. Although European and Middle Eastern tourist numbers have risen, the critical issue remains the penetration of inferior foreign goods among Thai products, undermining tourist confidence and tarnishing the image of Thai products. Entrepreneurs suggest government initiatives to boost tourism and eliminate inferior products to prevent Thai items from being labeled as low-quality.
Ms. Aromorn stressed that after gathering feedback from franchise and retail businesses, the department aims to resolve issues promptly and formulate detailed business support plans tailored to each area. This includes collaborating with partner agencies and urging entrepreneurs to adopt innovation and technology to boost business efficiency. She asserts that Thai SMEs will continue to be a vital force in driving the national economy.
Currently, the franchise sector boasts a market value of over 300 billion baht, growing annually by 15-20%. By September 8, 2025, 545 entrepreneurs had met the Department's Franchise Standard criteria across various sectors, including food, beverage, education, service, retail, and beauty/spa businesses. The Department of Business Development reaffirms its dedication to supporting Thai SMEs and franchises comprehensively, not only to help them tackle present challenges but also to establish a robust foundation for the Thai business sector, ensuring stability for the broader economy.