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Though it is unclear how long Jiří Rusnok’s freshly appointed cabinet will remain in power, it will certainly face some difficult tasks. The government has pledged not to take any strategic decisions, such as on the extension of the Temelín nuclear plant. But it will have to try and revive economic growth while at the same time keeping a tight reign on the deficit.

The hype over Western supermarkets of the 1990s started fading for Czechs sometime in the early noughties. As healthy eating became more of a priority for some Czech city dwellers, small organic food shops began cropping up in most cities. Organic was all the rage. Yet, many of the products sold in organic food shops were not locally grown, leaving a gap on the market for small and medium Czech farmers to fill.

Czech weapons producers are pushing for a change of the government’s system of approving arms exports. Sales of Czech-made weapons abroad last year rose by to nearly seven billion crowns, and the country’s weapons producer, Česká zbrojovka, posted record revenues of some 2.2 billion crowns. But the industry says the current system of licensing arms exports is ambiguous which hurts Czech producers. I discussed the issue with Jiří Hynek, the head of the Defence and Security Industry Association, a lobby group.

The Czech franchise market registered massive growth last year, with more international brands looking to expand in the region in the coming months. At a time of recession and falling household spending, both domestic and international franchisers say there are good opportunities in the Czech Republic in terms of labour and real estate costs.

Czech universities are set for the biggest change in years. After several failed attempts in the past, the Education Ministry is finalizing reform legislation that should help universities adapt to the changing environment; the reform seeks, among other things, to diversify the universities and change their financing. It should also improve cooperation between universities and industry. But how does the business sector see the ministry’s efforts? In this edition of Marketplace, I discuss these issues with Jan Louda, a university relations coordinator

A recent study for Prague City Hall found that the number of people who regularly get around the city on bikes has doubled over the past two years, reaching 120,000, or around 10 percent of the city’s population. But biking advocates say this was achieved in spite, rather than due to, the authorities’ approach to cycling in the city.

A new documentary called Šmejdi, or Crooks, focuses on the phenomenon of so-called product demonstration excursions. On these trips, especially elderly people are often abused and manipulated into buying overpriced products. The film, which premiered in Prague on Tuesday, has already sparked a debate among lawmakers about tightening the rules and increasing the penalties for such practices. The film’s producer, Hana Třeštíková, describes what goes on these trips.

The drawn-out Czech-Polish dispute over the quality of food imports this week reached a new level after Polish officials accused the Czech authorities and media of waging a campaign aimed at hurting Polish food sales in the country. Czech officials, meanwhile, complain about poor quality of some Polish foodstuffs, and say inspections prove they fail to meet set standards much more often that Czech products.

Czech spas are crying foul as cuts to public insurance payments threaten to put them out of business. The Health Ministry has reduced both the number of conditions eligible for treatment and the number of days patients can stay at a spa. On top of budget cuts implemented by health insurers, this has had a dramatic impact on many of the Czech Republic’s 37 spa facilities. I discussed the situation with Martin Plachý of the Czech Spa Association.

A survey of shopping habits by the KPMG agency published this week suggests that organic food products have lost their initial attraction: shoppers find them too expensive and often question their superior quality. According to the results of the poll only 4 percent of Czechs buy organic food on a regular basis. 37 percent of respondents said they did so occasionally and approximately the same number of people said they had tried organic products in the past but no longer shopped for them. So are Czechs losing interest in organic food and should