Posts Tagged ‘Strategy For Africa’

A Business Strategy For Africa

One of the places that has become the new frontier in the world of business nowadays is Africa. Indeed, the continent has come out from its rather backward past and emerged as a potential for commercial activity. Thus, many entrepreneurs have set their eyes into conquering Africa’s business scene.

However, doing business in here is certainly not going to be easy. Just like any new business front, Africa poses a lot of challenges that a company opening here needs to overcome. And what’s more, the continent has some unique features that needs to be considered by any business wanting to establish itself here.

One of the biggest considerations that one seeking to put up a business here need to think closely about is the continent’s culture. In fact, there is a lot of cultural notions that one needs to take note of here, mainly because the continent has a large number of different groups. In contrast, though the Chinese market, for instance, have a large reach, its culture is pretty much a homogenous one, which means that targeting this particular market would be fairly easy.

Sadly, this is not the case for Africa. The groups of people here are very diverse such that you will find two entirely different cultural groups in one city alone. Thus, instead of creating a general business strategy to cover all of the possible areas, one might have to break it down into several components to specifically suit these particular cultures.

Note that such a business strategy is helpful not only in marketing but also in building your company. In particular, knowing each group’s cultural heritage would be very helpful in putting up your business team. Since many Africans came from distinct tribal groups that have been at odds with each other in the past, these sentiments would often still run deeply even in the workplace. For instance, it is not uncommon for business managers in South Africa to have a hard time putting workers with Zulu and Xhosa backgrounds together.

But, of course, this doesn’t mean that it can’t be done. In fact, this one has already been done by many of the most successful businesses in the country. So what’s the secret? Well, its all about building a long term relation with the people here. Unlike other countries where relationships are strictly “for business purposes”, here you need to build a long term, almost spiritual, bond with the people around you. This will help you strengthen your hold on the various different markets here.

Another thing that you need to keep in mind is the continent’s economic conditions. Though it has been said earlier that Africa will be the next frontier, don’t expect the people here to be as affluent as those coming from Korea. The truth of the matter is, most people here are living on an average to below average condition. Thus, you also need to consider their livelihood in order to target potential markets or get potential employees. This way, you will be able to gain a better foothold in the continent.

Author Recommends Future Africa for strategic planning consulting