Archive

Posts Tagged ‘business modeling’

Regional Variation of Opportunities in Africa

African continent is composed of 53 countries. It is known that Africa is the home of the world’s poorest nations. This is despite the fact that the region is the richest area in the world when it comes to natural resources. The Black Continent is divided into different regions, and each regions differ based on the history, geographical, geopolitics and economical structure. Come to think of this, rich continent plus variation of economies, that is equal to lots of opportunities. Investment in Africa can create a good fight in its five regions namely Eastern Africa, Middle or Central Africa, Western Africa, Northern Africa and Southern Africa. Each areas have something to offer. All of them are profitable business havens through proper business modeling.

First of the five regions is Eastern Africa. It is composed of 19 territories. The great colonizer of the region was Portugal, going after the spices. This part of the black continent is possessing a large reserve of wildlife, a good example is the Madagascar. They are also proud of its beautiful landscapes like the Mount Kilimanjaro, Great Rift Valley, Lake Victoria and Lake Tanganyika. The country is the second highest gainer in the continent.

Central Africa is the region that experienced the highest growth rate in 2004. It is also called as Middle Africa with nine countries. The region has a very nice climate, perfect for agriculture. Trades from Middle Africa are commonly palm Kernel nuts, cashew nuts, coffee in Cameroon, Some animals from Congo and Rwanda and other poultry products.

Western Africa is composed of 16 countries, with the Nigeria as the most explored nation. Aside from the mentioned country, there are also vast opportunities in many territories. Right now, investments are focusing on infrastructure and telecommunications. There are now unity among newly independent West African states, and favored trading within the states and with the

rest of the world. Also there are many types of loans available for the promotion of small

businesses in this region from the international banks, local banks, and not-for profit organizations.

North Africa is on the northernmost region of the African continent. It has seven countries that includes the Egypt and Algeria. It shelters the Nile Valley and 90% of the Sahara desert lies on this region. People here have different religions since they are nearer to the Arabic community and some states being under different conquerors. Algeria and Libya transformed because of their oil and natural gas found on deserts. Morocco is focusing on exportation of phosphates and other agricultural products. Egypt and Tunisia both depend largely on their tourism. Egypt has the most varied industrial base, importing technology to develop electronics and engineering industries, and maintaining the reputation of its high-quality cotton textiles.

Southern Africa is maybe the richest and the most organized region in the Black Continent mainly because of South Africa being included on the G20. According to UN, there are five nations making up Southern Africa. Some of the regions main exports are platinum, diamonds, gold, and uranium, but it is similar in that it shares some of the problems of the rest of the continent. There is also opportunities blooming on the telecommunication industry on some countries.

Africa’s Internal Businesses Market

Internal African business market is still on the edge against exports. The market is still on the process of business modeling. It is yet to define what steps should be taken in order for them to boost the national economy. It may be raining international trades and investments, with most African countries focusing on it, but in domestic investment’s case, they are lacking. Although foreign business are very important, we can’t disregard the role of interior business, especially those that can enhance and preserve the richness of Africa’s environment.

The domestic business and products in Africa have big potentials. The region got a large population and abundant resources. Investing on this sector isn’t that bad because of a very promising market. In these times when most investors are risking it all out in the global competition, it is perfect to become different. Why not focus on the internal businesses. It may not offer you a profit that is as big as those from large businesses, but your venture will be a sure hit. Africans need something that is instants, like what every people does. Small businesses can provide these people with their basic commodities in real time. The community will have an easy access to fulfill their daily needs. If this idea come to life, everything else will follow. There will have development on domestic business, eradication of deadly diseases and a a highly governed nation.

A small business is more consistent as compared to a large business. A good example of small type of business is retailing. Retailing business in Africa has a goof future because of the ever-growing demand by the people. Like in Africa, from time to time, people are introduced to different type of products like foods, medicines, clothing and a lot more. This means, there is a fair number of them that is going to avail your product. And the number will continue to grow because of more companies providing decent source of income for Africans. Greater demand asks for greater supply, and this cycle is favorable for every small business.

Also, a small business can easily catch what are the needs of people. Since both consumer and investor have reliable connections, they can easily determine what’s the problem and how it should be addressed. If ever there is an arrival of big change, a small business can easily cope up. It is more flexible and more observant of what’s going in the business environment.

No one should be afraid of investing in Africa’s internal business market. Since Africa is seeking for better living, they will surely grab every innovations that are offered to them. Investors doesn’t need a big amount of investment money, all that they needs is trust and confidence, along with great business skills.