Foreign Capital Companies in the French Riviera
2013
Key-figures +30% employees in 5 years
1,775 29,985 establishments jobs
+18% establishments in 5 years
Foreign Capital Companies: these are businesses that are resident in France and under foreign control. This control takes the form of a majority stake in the business coming either from direct foreign investment, or from investment from one or more companies with Foreign Capital. Participation in the business may be exercised either directly (a foreign company investing in France) or indirectly (a French company belonging to a foreign group or a group whose major shareholder is foreign). Among these new Foreign Capital Companies, buyouts form the largest part as opposed to new company creations. In this report, the term Foreign Capital Company (or FCC for short) is used to refer to all types of business (head oďŹƒces, branch and so on).
More information on the French Riviera economy: www.cote-azur.cci.fr/economie06
Introduction and key figures
There are 1,775 Foreign Capital Companies in the French Riviera, an increase of 275 over the last 5 years. Despite considerable fluctuations over time, the number of FCC has shown a clear rise since the year 2000, a trend that has been confirmed once again. These FCC employ a workforce of around 30,000, up by nearly 30% compared to 2007, with an average of 17 employees per establishment which is well above the average for companies in the French Riviera. This can be explained by the presence of large international groups. Capital comes from sixty different nationalities and every continent. More than three quarters of the FCC are controlled by capital coming from Europe. Capital from other areas, Asia (Hong Kong, China, India) in particular, but also Central America (Mexico), started to appear between the years 2007 and 2012. FCC from the services sector (46%) or commerce (44%) are the most represented and employ more than half the FCC workforce. Among these companies, diverse profiles can be found: High Technology and R&D as well as business services, or other services. In terms of geographic distribution, a major presence can be noted in the Nice economic perimeter where more than one third of FCC are concentrated. The remaining FCC are more or less equally distributed throughout the other economic areas of the French Riviera with, however, same number of FCC jobs found in Sophia Antipolis as in Nice.
1,775
establishments
representing 1,138 companies employing a workforce of 29,985 2/3 of these establishments under control from within the EU
60
countries represented
90%
commercial or service activities
Countries with the largest representation: Great Britain: 358 establishments - 3,480 jobs USA: 263 establishments - 6,015 jobs
Main activities: ICT: 105 establishments - 7,365 jobs Hotels/restaurants: 87 establishments - 3,370 jobs Life Sciences: 47 establishments - 2,386 jobs Personal goods: 268 establishments - 2,123 jobs
30%
of jobs are located in Sophia-Antipolis of establishments are located in Nice
Foreign Capital Companies
A study by Sirius-CCI
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December 2013
FCC per continent of origin
North America 285 establishments 6,465 jobs
More than
120 new FCC implanted each year
Europe 1,374 establishments 22,450 jobs
Asia
91 establishments 785 jobs
37% FCC in business for less than 5 years
Increase of 30%
Africa
in number of jobs in 5 years
20 establishments 270 jobs Oceania 4 establishments 15 jobs
FCC from the European continent Finland : 8 establishments, 445 jobs Norway Sweden Denmark Latvia 33 establishments 5 establishments 27 establishments 2 establishments 735 jobs 60 jobs 425 jobs 2 jobs
Ireland UK 10 establishments 130 jobs 382 establishments 3,665 jobs
The Netherlands 109 establishments 1,215 jobs Germany
Poland 2 establishments 3 jobs
128 establishments 3,400 jobs
Belgium 130 establishments 1,815 jobs Luxembourg 151 establishments 3,200 jobs
Austria 9 establishments Switzerland Liechtenstein 45 jobs 112 establishments 7 establishments 2,170 jobs 10 jobs
Romania 3 establishments 3 jobs
Italy
Spain
Monaco 25 establishments 220 jobs
171 establishments 1,365 jobs
Bulgaria 1 establishment 1 job
41 establishments 3,400 jobs Portugal 10 establishments 40 jobs
Gibraltar 2 establishments 55 jobs
Foreign Capital Companies
Greece 4 establishments 30 personnes
Cyprus 2 establishments 15 jobs
A study by Sirius-CCI
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December 2013
D Activity Sector
Type of Activity FCC & French Riviera companies compared 100% Industry Construction Retail business Services
80% 60%
The service sector is the most highly represented activity among FCC (46 %), although this is lower than for companies in general in the French Riviera (54 %). In contrast, the proportion of FCC working on commercial activities (44 %) is far higher than for companies in general in the French Riviera.
40%
The industrial sector is represented by 6% of the FCC but 15 % of the total FCC workforce.
20% 0%
FCC
French Riviera
By number of establishments
In terms of number of establishments, the clothing sector is the most highly represented among FCC (268 establishments). These establishments include several chains of clothing and shoe stores located throughout the French Riviera. After clothing comes real estate activities (estate agents, property developers, property managers and so on), then ICT (software, electronics, mobile telecommunications, Internet etc.).
Distribution of employees by activity
8,000
6,000
4,000
For more information:
4
-
Foreign Capital Companies Les Entreprises à Capitaux Etrangers
Other services Other wholesaler Other retail business
Leisure Mechanical & electric manufacturing Finance/insurance Public Works Jewelers/Opticians/Perfumery Management/Consultancy Real estate Rental Temp agency Chemistry/energy
Transport Automotive DIY/Furniture/Decoration
Life SCI Clothing Food/Supermarkets
0
ICT
2,000
Hotel/restaurant
In terms of number of jobs, ICT, a major technological hub in the French Riviera, owes much to the presence of foreign companies, which alone employ some 7,400 workers – a quarter of the total number of FCC employees. Ten per cent of the FCC in the ICT sector each employs a workforce of more than 100. Hotels and restaurants are also major employers with a workforce of more than 3,360. FCC are particularly present in the luxury hotel sector and in restaurant chains. Life Sciences, the second largest technological hub in the French Riviera, is represented by fewer than 50 FCC, but some 2,400 jobs due to around ten companies with more than 100 jobs each. These are mainly concerned with R&D and research laboratories in different activity sectors of the hub.
By number of jobs
Laurent HOAREAU - tel.: +33 (0) 493137509 laurent.hoareau@cote-azur.cci.fr www.cote-azur.cci.fr/economie06
A study by Sirius-CCI - December 2013 2013 Etude réalisée par Sirius-CCI - Décembre