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A chamber of commerce, or board of trade, is a form of
business network A business network is a complex network of companies, working together to accomplish certain objectives. These objectives, which are strategic and operational, are adopted by business networks based on their role in the market. There are two categ ...
. For example, a local organization of businesses whose goal is to further the interests of businesses. Business owners in towns and cities form these local societies to advocate on behalf of the business community. Local businesses are members, and they elect a board of directors or executive council to set policy for the chamber. The board or council then hires a President, CEO, or Executive Director, plus staffing appropriate to size, to run the organization. A chamber of commerce may be a voluntary or a mandatory association of business firms belonging to different trades and industries. They serve as spokespeople and representatives of a business community. They differ from country to country.


History

The first chamber of commerce was founded in 1599 in
Marseille Marseille ( , , ; also spelled in English as Marseilles; oc, Marselha ) is the prefecture of the French department of Bouches-du-Rhône and capital of the Provence-Alpes-Côte d'Azur region. Situated in the camargue region of southern Fra ...
,
France France (), officially the French Republic ( ), is a country primarily located in Western Europe. It also comprises of Overseas France, overseas regions and territories in the Americas and the Atlantic Ocean, Atlantic, Pacific Ocean, Pac ...
, as the "Chambre de Commerce". Another official chamber of commerce followed 65 years later, probably in
Bruges Bruges ( , nl, Brugge ) is the capital and largest City status in Belgium, city of the Provinces of Belgium, province of West Flanders in the Flemish Region of Belgium, in the northwest of the country, and the sixth-largest city of the countr ...
, then part of the
Spanish Netherlands Spanish Netherlands ( Spanish: Países Bajos Españoles; Dutch: Spaanse Nederlanden; French: Pays-Bas espagnols; German: Spanische Niederlande.) (historically in Spanish: ''Flandes'', the name "Flanders" was used as a '' pars pro toto'') was the ...
. The Royal Barcelona Board of Trade was established in 1758. The world's oldest English-speaking chamber of commerce and oldest chamber of commerce in North America is the Halifax Chamber of Commerce, founded in 1750. The
Glasgow Glasgow ( ; sco, Glesca or ; gd, Glaschu ) is the most populous city in Scotland and the fourth-most populous city in the United Kingdom, as well as being the 27th largest city by population in Europe. In 2020, it had an estimated popu ...
Chamber of Commerce, was founded in 1783. However,
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Chamber of Commerce is the UK's oldest, followed by those of
Leeds Leeds () is a city and the administrative centre of the City of Leeds district in West Yorkshire, England. It is built around the River Aire and is in the eastern foothills of the Pennines. It is also the third-largest settlement (by popul ...
and of
Belfast Belfast ( , ; from ga, Béal Feirste , meaning 'mouth of the sand-bank ford') is the capital and largest city of Northern Ireland, standing on the banks of the River Lagan on the east coast. It is the 12th-largest city in the United Kingdom ...
in present day Northern Ireland. As a non-governmental institution, a chamber of commerce has no direct role in the writing and passage of laws and regulations that affect businesses. It can, however,
lobby Lobby may refer to: * Lobby (room), an entranceway or foyer in a building * Lobbying, the action or the group used to influence a viewpoint to politicians :* Lobbying in the United States, specific to the United States * Lobby (food), a thick st ...
in an attempt to get laws passed that are favorable to businesses. The Chamber of Commerce has a long history of anti-union lobbying and union-busting in the United States at the local and federal level.


Characteristics

Membership in an individual chamber can range from a few dozen to well over 800,000, as is the case with the Paris Île-de-France Regional Chamber of Commerce and Industry. Some chamber organizations in China report even larger membership numbers. Chambers of commerce can range in scope from individual neighborhoods within a city or town up to an international chamber of commerce. In the United States, chambers do not operate in the same manner as the Better Business Bureau in that, while the BBB has the authority to bind its members under a formal operation doctrine (and, thus, can remove them if complaints arise regarding their services), the local chamber membership is either voluntary or required by law. Some chambers are partially funded by local government, others are non-profit, and some are a combination of the two. Chambers of commerce also can include
economic development In the economics study of the public sector, economic and social development is the process by which the economic well-being and quality of life of a nation, region, local community, or an individual are improved according to targeted goals and ...
corporations or groups (though the latter can sometimes be a formal branch of a local government, the groups work together and may in some cases share office facilities) as well as tourism and visitor bureaus. Some chambers have joined state, national (such as the United States Chamber of Commerce and the
British Chambers of Commerce British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...
) and even international bodies (such as Eurochambres, the International Chamber of Commerce (ICC), Worldchambers). Currently, there are about 13,000 chambers registered in the official Worldchambers Network registry, and the chamber of commerce network is the largest business network globally. This network is informal, with each local chamber incorporated and operating separately, rather than as a chapter of a national or state chamber.


Chamber models


Community, city and regional chambers

Chambers of commerce in the United States can be considered community, city, regional, state, or nationwide ( United States Chamber of Commerce). City Chambers work on the local level to bring the business community together to develop strong local networks, which can result in a business-to-business exchange. In most cases, city Chambers work with their local government, such as their mayor, their city council, and local representatives to develop pro-business initiatives. There are also bilateral chambers of commerce that link the business environments of two countries (e.g. Romanian-American Chamber of Commerce, Moldovan–American Chamber of Commerce).


Community chambers

Community chambers of commerce started in the UK and later spread to in the US, becoming city chambers of commerce as communities developed and became larger. Community chambers of commerce are smaller and most have a limit on numbers of members.


City chambers

City chambers of commerce have a long history in the US. The Charleston Chamber of Commerce is one of the oldest, dating back to colonial 1773. That same year, Boston's Chamber of Commerce organized a seminal tax protest:
The Boston Tea Party The Boston Tea Party was an American political and mercantile protest by the Sons of Liberty in Boston, Massachusetts, on December 16, 1773. The target was the Tea Act of May 10, 1773, which allowed the British East India Company to sel ...
. In 2005 there were 2,800 chambers of commerce in the United States and 102 chambers representing U.S. businesses overseas. According to the Association for Chamber of Commerce Executives (ACCE), there are approximately 3,000 chambers of commerce with at least one staff person and "thousands more established as strictly volunteer entities".


State chambers

State chambers of commerce are much different from local and regional chambers of commerce, as they work on state and sometimes federal issues impacting the business community. Just as the local chamber is critical to the local business community, state chambers serve a unique function, serving as a third-party voice on important business legislation that impacts the business community and is critical in shaping legislation in their respective state. State Chambers work with their Governor, state representatives, state senators, US congressional leaders, and US Senators. In comparison with state trade associations, which serve as a voice and resource to a particular industry, state chambers are looked to as a respected voice, representing the entire business community to enhance and advocate for a better business environment.


National and international chambers

Understanding the National or International need for understanding and information is the key service that these levels of chambers of commerce provide. These services are in most cases are at no fee or cost to their members, some of the resources offer personal and/or business services that may have a very low fee (Memberships to other association like the NRA, etc.).


Compulsory or public-law chambers

Under the compulsory or public law model, enterprises of certain sizes, types, or sectors are obliged to become members of the chamber. This model is common in
European Union The European Union (EU) is a supranational union, supranational political union, political and economic union of Member state of the European Union, member states that are located primarily in Europe, Europe. The union has a total area of ...
countries (e.g. France, Germany,
Italy Italy ( it, Italia ), officially the Italian Republic, ) or the Republic of Italy, is a country in Southern Europe. It is located in the middle of the Mediterranean Sea, and its territory largely coincides with the homonymous geographical ...
, Spain, Austria), as well as Japan and Indonesia. The main tasks of the chambers are foreign trade promotion, vocational training, regional economic development, and general services to their members. The chambers were given responsibilities of public administration in various fields by the state which they exercise in order management. The chambers also have a consultative function; this means the chambers must be consulted whenever a new law related to industry or commerce is proposed. In Germany, the chambers of commerce and industry (''IHK - Industrie- und Handelskammer'') and the chambers of skilled crafts (''HwK - Handwerkskammer'') are public statutory bodies with self-administration under the inspectorate of the state ministry of economy. Enterprises are members by law according to the chamber act (''IHK-Gesetz'') of 1956. Because of this, such chambers are much bigger than chambers under private law. IHK Munich, the biggest German chamber of commerce, has 350,000 member companies. Germany also has compulsory chambers for "free occupations" such as architects, dentists, engineers, lawyers, notaries, physicians, and pharmacists.


Continental/private law chambers

Under the private model, which exists in English-speaking countries like USA,
Canada Canada is a country in North America. Its ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, covering over , making it the world's second-largest country by to ...
or the UK, but as well in
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,
Finland Finland ( fi, Suomi ; sv, Finland ), officially the Republic of Finland (; ), is a Nordic country in Northern Europe. It shares land borders with Sweden to the northwest, Norway to the north, and Russia to the east, with the Gulf of Bot ...
,
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and
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, companies are not obligated to become chamber members. However, companies often become members to develop their business contacts and, regarding the local chambers (the most common level of organization), to demonstrate a commitment to the local economy. Though governments are not required to consult chambers on proposed laws, the chambers are often contacted given their local influence and membership numbers.


Multilateral chambers

A multilateral chamber is formed of companies (and sometimes individuals) from different countries with a common business interest towards or in a specific country. It can further be active in representing the interests of local and foreign investors in that specific country, achieved through promotion and proactivity regarding the general business environment. Multilateral chambers of commerce are independent entities strengthening business relations and interactions between all economic players, and their members may benefit from a broad range of activities that enhance the visibility and reputation of their business.


Surveys

In many countries, Chambers of Commerce are a source of private-sector information. The information is usually gathered by surveying Chamber members. The
British Chambers of Commerce British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...
Quarterly Economic Survey is an example of a Chambers of Commerce survey that is used by official governmental departments as a guide to the performance of the economy.British Chambers of Commerce Quarterly Economic Survey
. BCC. 2014. Retrieved on 16 June 2014.


See also

*
British Chambers of Commerce British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...
* Camera di Commercio, Industria, Agricoltura e Artigianato (Italy) * European Federation of Bilateral Chambers of Commerce *
Federation of Pakistan Chambers of Commerce & Industry Since its inception in 1950, Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has advocated and voiced the collective opinion, concern and aspiration of the private sector and offered helpful advice and solid assistance to the Gov ...
* Finnish-Russian Chamber of Commerce FRCC * International Chamber of Commerce *
National Negro Business League The National Negro Business League (NNBL) was an American organization founded in Boston in 1900 by Booker T. Washington to promote the interests of African-American businesses. The mission and main goal of the National Negro Business League wa ...
*
Non-governmental organization A non-governmental organization (NGO) or non-governmental organisation (see spelling differences) is an organization that generally is formed independent from government. They are typically nonprofit entities, and many of them are active in ...
* Trade group *
Trade union A trade union (labor union in American English), often simply referred to as a union, is an organization of workers intent on "maintaining or improving the conditions of their employment", ch. I such as attaining better wages and benefits ...
* * * *


Further reading

* Herring, E. Pendleton (1931). "Chambres de Commerce: Their Legal Status and Political Significance". ''American Political Science Review''. 25 (3): 689–699.


References


External links


International Chamber of Commerce / World Chambers Federation
{{DEFAULTSORT:Chamber Of Commerce 1599 introductions