Goelectrix

Today, France has a minimal "hire-and-fire" culture. The French gov­ernment strengthened the entrepreneurial relationship between em­ployers and employees by enacting new legislation. Self-employment is possible without red tapism or financial constraints, like paying fixed taxes based on previously declared incomes. Such an individual is "L'autoentrepreneur"— self-employed entrepreneur, or "SEE." Go­electrix, a small start-up in the south of France, began as a response to a potential increase in demand for electric vehicles. In April 2011, electric car sales in France were up to 187 registrations. Goelectrix im­ports cars from Italy; small, off-road vehicles from Spain; and scooters from the Netherlands and China, with exclusive rights to market them in southern France.

Goelectrix employs five to ten people a year, including a sales force of four. The salespersons are compensated according to the number of direct sales and potential accounts within the regional business community. The main advantage in using SEEs: being able to respond quickly when matching qualified individuals with seasonal demand, when numerous clients have to manage an increasing number of cus­tomers. It reduces administrative costs accrued because SEEs invoice their services but manage their own pay.

Questions

10-24. To what extent do SEEs in small companies, like Goelectrix, reduce full-time employee engagement? Justify.

10-25. Can a small company manage talent in a difficult economic context? Referring to this chapter, explain how.