CAP Markets
In 1983, it was restructured and now has five objectives: It works in six business areas to fulfil these tasks: the CAP Märkte, WKE (electronics recycling and document shredding), EP (assembly), AVK (order and payroll processing), ISB (information, training and advice) and KBM (joint purchasing).
The business idea is to take over premises left empty by the flight of the main supermarket chains to out-of-town sites, and open neighbourhood grocery shops that are accessible on foot and provide a friendly service.
The attraction for disablement organisations running sheltered workshops is that opening a CAP Market enables them to create jobs for their users in the ‘real world’.
The concept has three attractions for policy-makers: (a) labour market policy: the Land of Baden-Württemberg, where the CAP Märket started, wishes to ensure equal opportunities for its disabled citizens.
Its labour market policy is therefore to encourage the creation of integration enterprises, and its target is to reach a total of 2,000 jobs for disabled people by 2010.
It has a successful programme including financial incentives for employers and career support services which has succeeded in reducing unemployment among disabled people by 20%.
(b) regeneration policy – the quality of life in towns falls when retailers close down, so there is support from residents for the empty sites to be reused.
An important but often forgotten factor is that it was the relatively generous – in the European context – subsidy regime that applies to sheltered workshops that allowed them to accumulate the working capital needed to develop the business idea in the first place.
The concept also offers many advantages to shoppers: - the customers have money as well as a mission - the service is in demand by two stakeholders: local communities as well as unemployed disabled people.
- developing new services to gain customer loyalty – for instance delivery - ecology: going with the trend to energy-saving and against out-of-town shopping - industry experience: the managing director has a long working history in retail - the connections and market intelligence that comes with that experience - fairness: a balanced license agreement that combines local autonomy with central discipline - solidarity and mutual aid: a structured decisions and information system based on regular meetings - critical mass: the CAP group has built up sufficient size it has negotiating power with its suppliers, and especially EDEKA, from whom it gets a small discount over the prices that are available to member retailers generally; in return it provides EDEKA with a significant boost to sales, without the headaches of giving detailed support to each customer - Acceptance of disability: the employers know and accept their employees’ health circumstances, and tolerate a certain level of mistakes, which gives the employees a sense of security.
They receive, in return for a relatively low levy on turnover, a great deal of invaluable help and advice born of long experience in the sector.
The long retail experience and contacts that GDW Süd possesses mean that it can offer extremely accurate advice to intended licensees.
No specific financial package is available, however the fact that the brand and system is by now well-known and proven, along with the group's reputation for honesty and fair dealing, increases investor confidence.
GDW Süd helps licensees to recruit staff, and organises training in various aspects of retailing: dealing with food, ordering, cash handling, operating the computer system, quality assurance etc.
