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How to Save Concession Agreement in DOC

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A concession agreement refers to a negotiated contract that allows a company to conduct business under specific conditions. It has two primary interpretations: first, it pertains to a contract between a foreign company and a government, enabling the company to operate within that country. Second, it allows the concessionaire exclusive rights to conduct business in a particular area or venue in exchange for negotiated terms. Governments may offer incentives like tax reductions or relaxed restrictions to attract foreign companies, while companies might need to make concessions when facing less favorable government responses.

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What are the advantages of concession?

Advantages of a concession agreement It spreads the risk involved for both parties and no single partys share is at risk. It involves a high level of private investment which will result in better enforcement and implementation of the projects involved.

What is the difference between concession and lease?

The main difference between lease and concession is that the concessionaire, apart from payment for the property use, is obliged to construct and/or to manage the concession object at its own expense.

What are concessions in government?

c(1) : a grant of land or property especially by a government in return for services or for a particular use. (2) : a right to undertake and profit by a specified activity.

What is the principle of concession?

Explanation: This principle relates to the fairness, transparency and accessibility of the rules and procedures governing the selection of concessionaires, awarding and further implementation of a concession.

What is a concession in business terms?

What is a concession? It is a kind of partnership between the public sector and a (usually) private company that has shown its added value in a specific area, for example developing infrastructure.

What is an example of concession agreement?

For example, a concession agreement exists between the governments of France and the U.K. and two private companies regarding the Channel Tunnel. The British Channel Tunnel Group Limited and the French France-Manche S.A. operate the Channel Tunnel, often referred to as the Chunnel under this agreement.

What is concession agreement between public and private entity?

A concession agreement is a license awarded by a government authority to a private entity for the execution and implementation of a public service. The license granted are some rights pertaining to the project granted to the private entity for a limited period which originally resides with the government.

What are the disadvantages of concession?

Cons: Highly complex to implement and administer. May have underlying fiscal costs to the government. Negotiation between parties and finally making a project deal may require long time.

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