Retail chains will face expansion hurdles in Nigeria

2015 ◽  
Keyword(s):  
Consumer Goods ◽  
Agricultural Production ◽  
Cement Industry ◽  
Retail Sector ◽  
Operating Environment ◽  
Content Type ◽  
Online Sales ◽  
Retail Chains ◽  
Sub Saharan ◽  
Expansion Strategies

Subject Challenges facing the retail sector in Nigeria. Significance Featuring sub-Saharan Africa's (SSA) largest and growing consumer base, Nigeria is central to international retailer expansion strategies on the continent. Led by firms such as grocery chain Spar and consumer goods firm Unilever, they are utilising a variety of strategies, eg, online sales and networks of local traders, to try to manage the country's difficult operating environment. Impacts Cuts to capital expenditure's share of the budget (from 31.1% to 14.2%) will hamper the government's ability to improve infrastructure. By reducing imports, rising domestic agricultural production will partially help offset the effects on consumers of oil-related volatility. Protection from imports for the domestic cement industry will boost profits -- in particular facilitating Dangote's expansion across Africa.

Chinese influence on African consumer trends will grow

2017 ◽  
Keyword(s):  
South Africa ◽  
Consumer Goods ◽  
Consumer Preferences ◽  
Simultaneous Occurrence ◽  
Consumer Market ◽  
Cultural Products ◽  
Content Type ◽  
Chinese Consumer ◽  
Sub Saharan

Significance By 2025, an estimated two-thirds of African households will have discretionary income, significantly expanding the consumer pool. Growth in sub-Saharan Africa’s consumer market coincides with a regional expansion in Chinese cultural products. The simultaneous occurrence of both trends will influence long-term consumer preferences in most sub-Saharan markets, especially Nigeria and South Africa, where Chinese platforms and products are becoming established. Impacts As China expands its electronics and media presence in Africa, Chinese consumer goods will become more mainstreamed. Chinese automakers such as GAC Motors will expand their share of the Nigerian market. Through WeWallet and other Chinese fintech applications, China could become a key player in Africa’s bourgeoning e-commerce sector.

Africa GDP growth woes belie private equity optimism

2016 ◽  
Keyword(s):  
South African ◽  
Private Equity ◽  
Credit Rating ◽  
Cement Industry ◽  
Sub Saharan Africa ◽  
Economic Downturn ◽  
Content Type ◽  
Labour Unions ◽  
Industrial Projects ◽  
Sub Saharan

Subject Outlook for private equity in sub-Saharan Africa. Significance Private equity (PE) firm Actis on June 6 announced that it has raised 500 million dollars for its third African property fund, exceeding its 400-million-dollar target. The fund will invest in office, retail and industrial projects. The region's PE scene is buoyant, despite market jitters caused by the economic downturn. Last year, PE firms raised a record 4.3 billion dollars, up from 2.0 billion dollars in 2014 and 3.5 billion in 2013. Impacts South Africa's share of PE investment will decrease owing to adverse sentiment linked to an expected credit rating downgrade. State-backed UK investor CDC's 140-million-dollar investment in ARM Cement will boost East Africa's regional cement industry. Spurred by low domestic growth, Nigerian and South African investors will seek higher returns in neighbouring states. Efforts to cut costs in PE investors' portfolio firms by dismissing employees will face resistance in states with strong labour unions.

A dyadic perspective of socially responsible mechanisms for retailer-manufacturer relationship in an apparel industry

2019 ◽  
Vol 49 (3) ◽  
pp. 242-266 ◽  
Author(s):  
Aswini Yadlapalli ◽  
Shams Rahman ◽  
Helen Rogers
Keyword(s):  
Social Responsibility ◽  
Social Factor ◽  
Developed Countries ◽  
Critical Element ◽  
Retail Sector ◽  
Socially Responsible ◽  
Dyadic Relationship ◽  
Case Study Methodology ◽  
Content Type ◽  
Relational Mechanism

Purpose The purpose of this paper is to identify and prioritise social responsible mechanisms in apparel supply chains to extend social responsibility from large retailers in developed countries to producers in developing nations. Design/methodology/approach A framework that consists of supplier qualification and supplier relational mechanisms as two socially responsible mechanisms, with five factors and 18 dimensions is proposed. To prioritise the dimensions, analytic hierarchy process is employed by using a case study methodology of a major Australian retailer sourcing from Bangladesh manufacturers. Findings Results indicate that at the mechanism level, both retailer and manufacturers perceive qualification of manufacturer as by far the most critical element compared to the relational mechanism. However, substantial differences exist at the factor level; namely, that the social factor is critical for the retailer, whereas the economic factor is critical for the manufacturer. Within the relational mechanism, evaluation helps retailers to enforce social responsibility, while manufacturers believe collaboration helps. Research limitations/implications The major limitation of this study is the generalisation of the findings. The results obtained by focusing on a particular context in the Australian retail sector importing from Bangladesh, may not be applicable to other nations. Practical implications By highlighting the difference of opinion, this study assists managers in developing guidelines to better understand the socially responsible mechanisms in the retailer-manufacturer dyadic relationship and to propose strategies to address the differences. Originality/value This study advances the literature on inter-organisational relationship to retailer-manufacturer dyad for the implementation of social responsibility by including supplier qualification along with supplier relational mechanism.

Crisis or opportunity: Marks and Spencer’s tryst with Indian retail

2020 ◽  
Vol 16 (6) ◽  
pp. 671-690
Author(s):  
Arunima Rana ◽  
Ravi Shankar
Keyword(s):  
Decision Making ◽  
International Business ◽  
Brand Management ◽  
Secondary Data ◽  
Business Environment ◽  
Special Focus ◽  
Retail Sector ◽  
Content Type ◽  
Competitor Analysis ◽  
Fashion Retail

Research methodology The case is written using secondary data sources (namely, research documents, press information, journal articles and published interviews). Publicly declared company information has further been leveraged to augment case facts. All information sources have been duly acknowledged in the reference section. Case overview/synopsis The case is written in the backdrop of COVID-19 pandemic and its effect on the Indian retail industry, revolving around scenarios in which a multinational retailer has to decide on its long- and short-term strategy in such an economic crisis. The case story has been developed around Marks and Spencer’s retail venture in the Indian market. With the COVID-19 pandemic impacting business at various levels, with countries moving to lock down and economies shrinking to recessionary levels, one of the worst affected sectors is retail. The teaching case builds upon Mark and Spencer’s initial decision of not entering and extending its food/grocery business in India. While it remained a dominant player in Indian fashion retail for almost two decades, it needs to re-think its decision of entering food retail owing to a pandemic situation affecting its offline sales/store footfall and increasing competition from global fashion brands such as Zara and H&M that had flooded the Indian fashion retail sector. The case provides a context for students to perform environmental factor and competitor analysis for a sector, with special focus on decision making in a changing crisis scenario. Complexity academic level This case could be used in undergraduate and MBA classroom programme, across subjects such as retail management, marketing management, international business, international business environment and strategic business management. This case fits while discussing topics such as business environmental factors, competitor analysis, decision-making under crisis, market entry decision, omnichannel retail strategy, consumer behaviour and brand management.

Cultural orientation, perceived support and participation of female students in formal entrepreneurship in the sub-Saharan economy of Ghana

2019 ◽  
Vol 11 (3) ◽  
pp. 299-322 ◽  
Author(s):  
Alex Anlesinya ◽  
Oluwayemisi Ajoke Adepoju ◽  
Ulf Henning Richter
Keyword(s):  
Support System ◽  
Power Distance ◽  
Cultural Orientation ◽  
Female Students ◽  
Perceived Support ◽  
Content Type ◽  
Cultural Orientations ◽  
Sub Saharan ◽  
Ghanaian Women

Purpose This purpose of this paper is to examine cultural orientations and intention of Ghanaian women to engage in entrepreneurship while assessing the role of perceived support system. The aim is to contribute to the literature in the sub-Saharan African context where women entrepreneurs are generally under-researched, despite their increasing significant roles in socio-economic development in the continent even in the face of huge cultural barriers. Design/methodology/approach The study uses a hierarchical regression analysis and Hay’s PROCESS moderation technique to analyze survey data from 190 female students from Ghana, Africa. Findings The results indicate that uncertainty avoidance and power distance cultural orientations have significant positive and negative effects, respectively, on women’s participation in formal entrepreneurship. However, collectivism and masculine cultural orientations do not have any effect on their intention to engage in formal entrepreneurial activity. The study further shows that perceived support system has a buffering effect on the destructive consequences of power distance culture on formal entrepreneurship intentions. On the contrary, perceived support does not moderate the relationship between uncertainty avoidance, collectivism and masculine cultural and formal entrepreneurial intention. Practical implications Given the fact that most African governments are making efforts to accelerate the growth and development of their economies via entrepreneurship and economic empowerment, this study’s findings encourage stakeholders to implement measures to leverage on the positive dimensions of cultures to facilitate the development of formal entrepreneurship among Ghanaian women while mitigating the negative consequences of cultural practices. The findings further highlight the need to evaluate the current level of support given to women in Ghana. The study suggests that provision of sufficient level of support can make women more willing to challenge the status quo in power distance cultures and take personal initiatives, thereby leading to more formal entrepreneurial actions. Originality/value This study is a significant addition to women entrepreneurship literature because the role of culture in females’ intention to participate in entrepreneurship is generally an under-researched area. Besides, our examination of national cultural variation at the individual level on formal entrepreneurship intention in a heterogeneous setting is novel. The study also highlights the buffering roles of perceived support on the destructive consequences of power distance cultural orientation on formal entrepreneurial development among women.

Middle East luxury retail sector – opportunities or uncertainties in the future?

2016 ◽  
Vol 6 (3) ◽  
pp. 1-39
Author(s):  
Roger Moser ◽  
Gopalakrishnan Narayanamurthy
Keyword(s):  
Middle East ◽  
Multinational Corporations ◽  
International Business ◽  
Market Entry ◽  
Middle Eastern ◽  
Subject Area ◽  
Retail Sector ◽  
Senior Executive ◽  
Content Type ◽  
The Future

Subject area The subject area is international business and global operations. Study level/applicability The study includes BSc, MSc and MBA students and management trainees who are interested in learning how an industry can be assessed to make a decision on market entry/expansion. Even senior management teams could be targeted in executive education programs, as this case provides a detailed procedure and methodology that is also used by companies (multinational corporations and small- and medium-sized enterprises) to develop strategies on corporate and functional levels. Case overview A group of five senior executive teams of different Swiss luxury and lifestyle companies wanted to enter the Middle East market. To figure out the optimal market entry and operating strategies, the senior executive team approached the Head of the Swiss Business Hub Middle East of Switzerland Global Enterprise, Thomas Meier, in December 2012. Although being marked with great potential and an over-proportional growth, the Middle Eastern luxury market contained impediments that international firms had to take into consideration. Therefore, Thomas had to analyze the future outlook for this segment of the Middle East retail sector to develop potential strategies for the five different Swiss luxury and lifestyle companies to potentially operate successfully in the Middle East luxury and lifestyle market. Expected learning outcomes The study identifies barriers and operations challenges especially for Swiss and other foreign luxury and lifestyle retailers in the Middle East, understands the future (2017) institutional environment of the luxury and lifestyle retail sector in the Middle East and applies the institutions-resources matrix in the context of a Swiss company to evaluate the uncertainties prevailing in the Middle East luxury and lifestyle retail sector. It helps in turning insights about future developments in an industry (segment) into consequences for the corporate and functional strategies of a company. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or e-mail [email protected] to request teaching notes. Subject code CSS 5: International Business.

Credit constraints and labour allocation decisions in rural Burkina Faso

2017 ◽  
Vol 77 (2) ◽  
pp. 257-274 ◽  
Author(s):  
Mohamed Porgo ◽  
John K.M. Kuwornu ◽  
Pam Zahonogo ◽  
John Baptist D. Jatoe ◽  
Irene S. Egyir
Keyword(s):  
Burkina Faso ◽  
Agricultural Production ◽  
Credit Constraints ◽  
Probit Model ◽  
Multinomial Logit Model ◽  
Farm Households ◽  
Content Type ◽  
Labour Market Participation ◽  
On Farm ◽  
Allocation Decisions

Purpose Credit is central in labour allocation decisions in smallholder agriculture in developing countries. The purpose of this paper is to analyse the effect of credit constraints on farm households’ labour allocation decisions in rural Burkina Faso. Design/methodology/approach The study used a direct elicitation approach of credit constraints and applied a farm household model to categorize households into four labour market participation regimes. A joint estimation of both the multinomial logit model and probit model was applied on survey data from Burkina Faso to assess the effect of credit constraint on the probability of choosing one of the four alternatives. Findings The results of the probit model showed that households’ endowment of livestock, access to news, and membership to an farmer-based organization were factors lowering the probability of being credit constrained in rural Burkina Faso. The multinomial logit model results showed that credit constraints negatively influenced the likelihood of a farm household to use hired labour in agricultural production and perhaps more importantly it induces farm households to hire out labour off farm. The results also showed that the other components of household characteristics and farm attributes are important factors determining the relative probability of selecting a particular labour market participation regime. Social implications Facilitating access to credit in rural Burkina Faso can encourage farm households to use hired labour in agricultural production and thereby positively impacting farm productivity and relieving unemployment pressures. Originality/value In order to identify the effect of credit constraints on farm households’ labour decisions, this study examined farm households’ decisions of hiring on-farm labour, supplying labour off-farm or simultaneously hiring on-farm labour and supplying family labour off-farm under credit constraints using the direct elicitation approach of credit constraints. To the best of the authors’ knowledge, this study is the first to examine this problem in Burkina Faso.

Cross-cultural communication imperatives

2018 ◽  
Vol 14 (2/3) ◽  
pp. 170-187 ◽  
Author(s):  
James Baba Abugre
Keyword(s):  
Business Environment ◽  
Cross Cultural ◽  
Sub Saharan Africa ◽  
Work Outcomes ◽  
Cultural Communication ◽  
Global Business ◽  
Content Type ◽  
Local Staff ◽  
Cross Cultural Communication ◽  
Sub Saharan

Purpose Given the rising expansion of Western multinational companies (MNCs) to the African contexts, the development of expatriates and local employees has become increasingly important to the human resource management of these MNCs. This paper aims to provide critical lessons on cross-cultural communication competences for Western expatriates working in the sub-Saharan Africa business environment. Design/methodology/approach This paper is a qualitative phenomenology that makes use of lived experiences of senior expatriate staff working in Ghana in the form of direct interviews. Findings Results showed that cross-cultural communication competence is very important for Western expatriates’ functioning in sub-Saharan Africa. The findings also established a plethora of cross-cultural communication skills that are essential for Western expatriates’ successful adaptation and work outcomes in Africa. Practical implications This research argues that there is the need for the appreciations of the differing cultural patterns of expatriates and local staff, and this provides the underlying assumptions of intercultural and cross-cultural communication in global business. Originality/value A critical perspective of international business that has scarcely been studied offers lessons for Western expatriates working in sub-Saharan Africa.

Banking technology and cashless economy in selected Sub-Saharan African countries: does education matter?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ese Urhie ◽  
Ogechi Chiagozie Amonu ◽  
Chiderah Mbah ◽  
Olabanji Olukayode Ewetan ◽  
Oluwatoyin Augustina Matthew ◽  
...  
Keyword(s):  
Panel Study ◽  
Positive Sign ◽  
African Countries ◽  
Content Type ◽  
Bank Branches ◽  
Mobile Cellular ◽  
Sub Saharan ◽  
The Relationship ◽  
Ssa Countries ◽  
Practical Implications

Purpose This study aims to analyze the effect of banking technology [automated teller machine (ATM) and mobile cellular devices (MOBs)] and other traditional factors on the level of currency in circulation for a sample of 21 selected sub-Saharan African (SSA) countries. It also assessed the mitigating effect of education on the relationship between banking technology and the cashless economy. Design/methodology/approach The study used a panel data approach to design a cashless economy model with banking technology – ATM and MOBs – as well as their interaction with education as regressors. Findings This study finds that MOB is significant for promoting a cashless economy, whereas ATM is insignificant in sample SSA countries. The level of education and the number of bank branches were also found to be significant in promoting a cashless economy. The interaction between education and ATM was insignificant but negatively signed, whereas that between education and MOB was significant but had a positive sign. Research limitations/implications Non-availability of data restricted this work to a panel study of selected SSA countries. Subsequent studies should consider single-country case studies. Practical implications Findings from the study imply that for banking technology to drive a cashless economy effectively, education has to be improved. Originality/value The ratio of cash in circulation to total money supply was used as a measure of the cashless economy. The study also evaluated the moderating effect of education on banking technology.

A comparison of global suicide terrorism by region before and after 9/11 terrorist attacks

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ahmet Guler ◽  
Mustafa Demir
Keyword(s):  
Time Series ◽  
Interrupted Time Series ◽  
Sub Saharan Africa ◽  
Terrorist Attacks ◽  
Suicide Terrorism ◽  
Content Type ◽  
The World ◽  
Before And After ◽  
Sub Saharan ◽  
Global Terrorism Database

Purpose This study aims to examine the effect of the 9/11 terrorist attacks on suicide terrorism in different regions of the world and changes in the trends in suicide terrorism according to regions before and after 9/11. Design/methodology/approach Using the data obtained from the Global Terrorism Database from 1981 to 2019, the descriptive statistics were computed first and then, independent samples t-tests were run to compare the monthly mean percentage of suicide-terrorism incidents that occurred in each region between the pre-9/11 and the post-9/11 periods. Finally, to statistically assess the effect of the 9/11 attacks and changes in the trends for the dependent variables over time, monthly interrupted time-series analyzes were conducted. Findings The results of monthly interrupted time series analyzes showed that after the 9/11 attacks, the trends for suicide-terrorism rates decreased significantly in three regions including South Asia, the Middle East and North Africa and Europe, while the trend for suicide-terrorism rates increased significantly in Sub-Saharan Africa. However, no statistically significant changes in the trends in suicide-terrorism rates occurred in three regions including North America, East Asia and Central Asia and Southeast Asia before 9/11, during November 2001 or after 9/11. Originality/value This study indicates the critical importance of the 9/11 terrorist attacks in suicide terrorism and its impact on these events in different regions of the world. The research also provides some recommendations concerning the effectiveness of defensive and offensive counterterrorism policies against suicide terrorism.

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