Africa is one of the most promising markets from a commercial perspective today. While there is a widespread belief of this continent continues to be in the midst of backwardness and anarchy, this large continent comprising of 53 countries do provide for a plethora of business opportunities. Besides being one of the largest geographical regions on the globe, the underdevelopment of Africa itself provides for huge opportunities to be explored. Many of such opportunities are yet to be realized though with changing times, business in Africa is catching up and the increasing trade and business of African countries with the leading global economic powers is a sure indication of this development.
Talking of the rising economic and business opportunities in the African continent, some of the names that invariably come to the mind include South Africa, Kenya, Egypt, Tanzania, Zimbabwe and Zambia. In terms of the business climate in South Africa, the political reforms in the country have led to a number of incredible changes and the impact on economy is all the more evident. Today South Africa competes with some of the fast growing global economies like China, India and Brazil. The country has become a leading trade partner in the region for global economic giants like the US, EU, Russia, Japan, Germany and India.
Acer, Alcatel, Agrid, BMW, Barclays Bank, Cisco Systems, EDS, General Electric, Hertz International, Britannia, Vodafone, Levi Strauss and Volkswagen are some of the global MNCs which have a considerable degree of presence in South Africa. The presence of Lafarge, a major construction material producer in Cameroon, Heineken in Ghana, Chevron Texaco in Nigeria, Toyota, General Motors and Cooper Motor Corporation in Kenya only emphasizes the point of greater business opportunities in Africa. The presence of such exciting names in the world of global business indicates the growing confidence of global business community in the viability of Africa as a major destination for business.
Doing business in Africa is difficult though not impossible today. While globalization has opened up so many opportunities for people around the world, the wave of internet and media has influenced the public opinion in Africa too. Even in some of the countries where authoritarian and turbulent regimes still survive in places like Zimbabwe, Somalia, Uganda, Tanzania the governments themselves are creating better business opportunities. Further, infrastructure too is getting improved while the unexplored natural resources in Africa in the form of gas, petroleum, copper, gold and others offer lucrative prospects for global companies to do business in Africa.
Many of the companies doing business in Africa are starting up with a representative office in the capital city of the respective country. That office is used to explore the business potential of the country, likely local business partners, enhancing contacts and liaison with the government and various business feasibility studies. Once they settle in, they gradually develop their business in the country and expand to the whole of Africa and thereby reach out to one of the most unexplored regions in the world of business.
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