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“ “ Doing business in West Africa”Doing business in West Africa”

ByBy

Philippe BakahoukoutelaPhilippe Bakahoukoutela

Tips of doing business in West AfricaTips of doing business in West Africa

Familiarise yourself with the peoples , the country, the Familiarise yourself with the peoples , the country, the politics andpolitics and thethe socialsocial cultureculture Familiarise yourself with the business cultureFamiliarise yourself with the business culture Be knowledgeable about the countries infrastructureBe knowledgeable about the countries infrastructure Familiarise yourself with the Financial systemsFamiliarise yourself with the Financial systems Know who your partners are/isKnow who your partners are/is Be aware of the local competition Be aware of the local competition Be aware of your target marketBe aware of your target market Know where to find your labourKnow where to find your labour Be aware of safety and corruption mattersBe aware of safety and corruption matters Build relationship with local communities & authorities Build relationship with local communities & authorities through your CSI through your CSI

FIRST STOP FIRST STOP

“ “Doing business in Nigeria”Doing business in Nigeria”

“ “Bawu ni”Bawu ni”

Familiarise yourself with the peoples, the Familiarise yourself with the peoples, the country politics and the social culturecountry politics and the social culture

Nigerian world faster growing populationsNigerian world faster growing populations

( ( 128,771,988 with 250 ethnic group mostly Hausa and 128,771,988 with 250 ethnic group mostly Hausa and Yoruba Igbo (Ibo)Yoruba Igbo (Ibo)

Religion in Nigeria include mostly Christian ( Majority) Religion in Nigeria include mostly Christian ( Majority) and Muslimand Muslim

Daily temperature above 33 CDaily temperature above 33 C

Very warm and hospitable peoplesVery warm and hospitable peoples

Very entertaining through cinema, club, sportVery entertaining through cinema, club, sport

Fashion lovers Fashion lovers

Good alcohol consumer ( soft, wine, etc…)Good alcohol consumer ( soft, wine, etc…)

Generally stable, peaceful and united countriesGenerally stable, peaceful and united countries

Business CultureBusiness Culture

business is conducted very informally and in a traditional business is conducted very informally and in a traditional fashion but professionallyfashion but professionally

very strict forward but yet effective approach of dealingvery strict forward but yet effective approach of dealing

Meeting take place until late in the eveningMeeting take place until late in the evening

Time factor or punctualityTime factor or punctuality

Business are open from 8:00-17:00Business are open from 8:00-17:00

Dress code in meeting both formal and traditionalDress code in meeting both formal and traditional

Be knowledgeable about the countries Be knowledgeable about the countries infrastructureinfrastructure

Transport:Transport: Roads, maritime and aviation are most Roads, maritime and aviation are most effective ways transport but road remains more effective ways transport but road remains more economical and safety is of less concern. Principal alter economical and safety is of less concern. Principal alter linking major city and countries are fairly paved.linking major city and countries are fairly paved.

Energy :Energy : electricity supply guaranties dispute shortage in electricity supply guaranties dispute shortage in same part of the country same part of the country

Communication: Communication: Telephones - mobile cellular: 9,950,000 Telephones - mobile cellular: 9,950,000

subscriber most effective way of communication subscriber most effective way of communication

Familiarise yourself with the Nigerian Familiarise yourself with the Nigerian Financial systemsFinancial systemsBanks:Banks: regulated. regulated.

Trading currency: Naira & US $ & PoundsTrading currency: Naira & US $ & Pounds

Access to finance guarantied at concurrential rate ( 15% over 5 years)Access to finance guarantied at concurrential rate ( 15% over 5 years)

Money transfer out of the country authorise but not exciding 50 Million Money transfer out of the country authorise but not exciding 50 Million US $).US $).

Fiscal policy: Fiscal policy: number of taxes legislations but foreign companies get number of taxes legislations but foreign companies get incentive that enable them to save over US $ Millions yearly and are incentive that enable them to save over US $ Millions yearly and are taxable just like any Nigerian company.taxable just like any Nigerian company.

Know who your partners are/isKnow who your partners are/is

Nigerian Investment Promotion AgencyNigerian Investment Promotion Agency ( NIPA) ( NIPA)

Chamber of Commerce and IndustriesChamber of Commerce and Industries

Conduct due diligences before entering into a partnership Conduct due diligences before entering into a partnership with any business organisation/partnerwith any business organisation/partner

Be aware of your target Be aware of your target marketmarket

Only over 35 % of the total Only over 35 % of the total population dispose of income population dispose of income throughout the countries 55 throughout the countries 55 millions peoples( active millions peoples( active population)population)

Employees from private Employees from private companies 20% (estimate)companies 20% (estimate)

Employees from Government and Employees from Government and others stated owned institutions others stated owned institutions 15% (estimate)15% (estimate)

Income earners

EmployeesPrivate

EmployeesPublic

Be aware of the local Be aware of the local competition competition

Premier BreweriesPremier Breweries

Total consumers 7 Millions( est. 2007

)

Market share15%

Product

Depot of distribution throughout the country

250

Consumer typesConsumer types

Upper class: wine, whiskey Upper class: wine, whiskey 15%15%

Middle class: Heineken, Middle class: Heineken, Amstel, golden max 20%Amstel, golden max 20%

Lower class: Lower class: Stars( adventurous, outgoing Stars( adventurous, outgoing peoples) 51%peoples) 51%

Lower

Middle

Upper

Labour MarketLabour Market

Labour force: 55.67 millionLabour force: 55.67 million

Nigerian one of most educated nation on the continentNigerian one of most educated nation on the continent

Cheap and skilled labour Cheap and skilled labour

Minimum remuneration $ 70-00; skilled over $ 5 000-00Minimum remuneration $ 70-00; skilled over $ 5 000-00

Be aware of labour movement attitudeBe aware of labour movement attitude

Recruitment done through: NIPA, stated department, Recruitment done through: NIPA, stated department, professional bobies, directly with companies, advert professional bobies, directly with companies, advert through newspapers,through newspapers,

Be aware of safety and corruption mattersBe aware of safety and corruption matters

Safety: Safety: There are no go in Nigeria due strong believe related There are no go in Nigeria due strong believe related customs & religions( Mainly in Niger delta, Kanu state)customs & religions( Mainly in Niger delta, Kanu state)

Corruption:Corruption:

THURSDAY, SEPTEMBER 27, 2007THURSDAY, SEPTEMBER 27, 2007 Nigeria Now 32nd Most Corrupt, Says Transparency Nigeria Now 32nd Most Corrupt, Says Transparency

International Offshore financing aids official looting Survey International Offshore financing aids official looting Survey reveals By Abimbola Akosilereveals By Abimbola Akosile ( source) ( source)

Don’t institutionalised corruption within your business Don’t institutionalised corruption within your business conduct in Nigeriaconduct in Nigeria

Report act of corruptionReport act of corruption

Corruption trendsCorruption trends

(Source transparency(Source transparency

International report)International report)

0

5

10

15

20

25

30

35

40

45

2006 2007 2008

Year

Ranks

Build relationship with local communities Build relationship with local communities & authorities through your CSI& authorities through your CSI

Very important to have sound relationship local Very important to have sound relationship local community & traditional leaderscommunity & traditional leaders

Have influences local authorities ( government, securities Have influences local authorities ( government, securities forces,ect…)forces,ect…)

Give back to local community through uplifment Give back to local community through uplifment programme in the field of sport or educationprogramme in the field of sport or education

SECOND STOPSECOND STOP

“ “ Doing business in DRC”Doing business in DRC”

Mbote na bisoMbote na biso

Familiarise yourself with the peoples , Familiarise yourself with the peoples , the country, politics and the social the country, politics and the social cultureculture Population of over Population of over 58,784,400 (estimated58,784,400 (estimated))

French dominant and official language followed by French dominant and official language followed by lingala lingala Dominantly Christian nation Dominantly Christian nation Daily temperature above 24 CDaily temperature above 24 C

Very hospitable & Fun loving ( most popular musician in Very hospitable & Fun loving ( most popular musician in the region are DRC)the region are DRC)

Fashion lovers ( men & women)Fashion lovers ( men & women)

Recovering from 6 year conflict but relatively stableRecovering from 6 year conflict but relatively stable

Familiarise yourself with the Familiarise yourself with the business culturebusiness culture

Business is conducted from Monday- Friday (08:00-Business is conducted from Monday- Friday (08:00-17:00)17:00)

Business meeting only take place until 17:00 pmBusiness meeting only take place until 17:00 pm

Dominantly formal business dress codeDominantly formal business dress code

Men and women are both very accessible and open to Men and women are both very accessible and open to ideasideas

women’s still play a secondary role in businesswomen’s still play a secondary role in business

Business environment Business environment

"The Government of the DRC has committed itself to "The Government of the DRC has committed itself to creating an environment conducive to private-sector led creating an environment conducive to private-sector led growth, as evidenced by the forthcoming democratic growth, as evidenced by the forthcoming democratic elections, the promulgation of the new mining code, and elections, the promulgation of the new mining code, and the establishment of macro-economic stability leading to the establishment of macro-economic stability leading to the renewal of economic growth. We believe the the renewal of economic growth. We believe the implementation of the EITI will provide further evidence implementation of the EITI will provide further evidence to the international business community that the DRC is to the international business community that the DRC is open for business.“open for business.“

Source: Source: http://www.redorbit.com/news/science/219645/adastrahttp://www.redorbit.com/news/science/219645/adastra

Be knowledgeable about the country Be knowledgeable about the country infrastructureinfrastructure

Telephones mobile most suitable mode of communication Telephones mobile most suitable mode of communication with over 6.592 million (2007)with over 6.592 million (2007)

Maritime & aviation are the most recommendatedMaritime & aviation are the most recommendated

Electricity supply not a concern despite lack of adequate Electricity supply not a concern despite lack of adequate supply in other part of the countrysupply in other part of the country

Familiarise yourself with the DRC Familiarise yourself with the DRC Financial systemsFinancial systems

Bank well regulated , loans access guarantied for Bank well regulated , loans access guarantied for foreign companies at least 12% ; transfer of funds foreign companies at least 12% ; transfer of funds requires no limits.requires no limits.

friendly fiscal policy toward foreign investorfriendly fiscal policy toward foreign investor

Know who your partners are/isKnow who your partners are/is

ANAPI ( Agence Nationale de Promotion des ANAPI ( Agence Nationale de Promotion des Investissements)Investissements)

Patronat CongolaisPatronat Congolais

Confederation des entreprises du CongoConfederation des entreprises du Congo

Be aware of the local competition Be aware of the local competition

5 Breweries throughout the country:5 Breweries throughout the country:

SIMBA; UNIBRA ; Societe des brasseries de Kinshasa;SIMBA; UNIBRA ; Societe des brasseries de Kinshasa;

Brasserie du Kasai; BralimaBrasserie du Kasai; Bralima

Locations: Kinshasa; Lubumbashi, Kasai.Locations: Kinshasa; Lubumbashi, Kasai.

Be aware of your Be aware of your target markettarget market

Only 28 % of the total Only 28 % of the total population are working each a population are working each a stable income (est. 2007)stable income (est. 2007)

Close to 50% of the active Close to 50% of the active pop are in informal economy pop are in informal economy

10 % in the formal economy : 10 % in the formal economy : own business, entrepreneursown business, entrepreneurs

Income earners

Informal sector

Formal Sector

Know where to find your labourKnow where to find your labour

Department of labour in DRCDepartment of labour in DRC

Through ANAPIThrough ANAPI

Keep close to you labour movementKeep close to you labour movement

Through advert in the newspapers; directly with Through advert in the newspapers; directly with companies.companies.

Be aware of safety and corruption Be aware of safety and corruption mattersmatters

Safety Capital City improved since 2003Safety Capital City improved since 2003

Avoid going to province of the east for more safetyAvoid going to province of the east for more safety

According to Transparency International, DRC has the According to Transparency International, DRC has the eighth highest level of corruption in the world.eighth highest level of corruption in the world.

“ “ A head of department makes less than €2 a day. A head of department makes less than €2 a day. Remote forest service staffs are left without equipment, Remote forest service staffs are left without equipment, with no access to a car and out of contact with the with no access to a car and out of contact with the distant capital Kinshasa “distant capital Kinshasa “

(http://www.greenpeace.org/international/campaigns/forests/africa/(http://www.greenpeace.org/international/campaigns/forests/africa/problem)problem)

Rather built relationshipRather built relationship

Build relationship with local communities & Build relationship with local communities & authorities through your CSIauthorities through your CSI

build relationships with local authorities , community & build relationships with local authorities , community & traditional leaders ;traditional leaders ;

Support local uplifment programme whether in education or Support local uplifment programme whether in education or sport;sport;

Respect the culture within your area of operation.Respect the culture within your area of operation.

THIRD AND LAST STOPTHIRD AND LAST STOP

“ “ Doing business in Ghana”Doing business in Ghana”

““Akwaba”Akwaba”

Familiarise yourself with the peoples , the Familiarise yourself with the peoples , the country , politics and the social culturecountry , politics and the social culture

Population of Population of 23,832,49523,832,495

Official language spoken English followed by AsanteOfficial language spoken English followed by Asante

Daily temperatures above 33 CDaily temperatures above 33 C

Majority of population Christian followed by MuslimMajority of population Christian followed by Muslim

Very traditional but yet moderateVery traditional but yet moderate

trusted and hospitable peoplestrusted and hospitable peoples

Fun and sport lovers (soccer); keep abreast with politics Fun and sport lovers (soccer); keep abreast with politics locally through your embassy but relatively stablelocally through your embassy but relatively stable

Familiarise yourself with the Familiarise yourself with the business culturebusiness culture

Business hour are from 08:00 till 17:00Business hour are from 08:00 till 17:00

Meeting are conducted formally with a traditional element in Meeting are conducted formally with a traditional element in itit

Business code is both formal and traditionnalBusiness code is both formal and traditionnal

Most business peoples are sport lovers especially soccerMost business peoples are sport lovers especially soccer

Womens still linking behind on second position in businessWomens still linking behind on second position in business

Be knowledgeable about the countries Be knowledgeable about the countries infrastructureinfrastructure

Telephones - mobile cellular:7.604 million (2007)Telephones - mobile cellular:7.604 million (2007)

Radios:12.5 million listenersRadios:12.5 million listeners

Televisions:1.9 millions viewersTelevisions:1.9 millions viewers

internet users: less than 1 Millionsinternet users: less than 1 Millions

Electricity – supply less of concernElectricity – supply less of concern

Roadways: totalRoadways: total:: 62,221 km 62,221 km

Airport advisable for transportation purposesAirport advisable for transportation purposes

Familiarise yourself with Ghana Financial Familiarise yourself with Ghana Financial systemssystems

Ghana has a well-developed banking systemGhana has a well-developed banking system

In addition, cedi depreciation had raised the banks external In addition, cedi depreciation had raised the banks external liabilitiesliabilities Trading currency: Cedis; Pounds; US $Trading currency: Cedis; Pounds; US $

Access to finance guarantiedAccess to finance guarantied

Money transfer done at no limitMoney transfer done at no limit

Corruption and safetyCorruption and safety

In Transparency International's 2008 Corruption Perceptions In Transparency International's 2008 Corruption Perceptions Index, Ghana is ranked 67th out of 180 nations, and Index, Ghana is ranked 67th out of 180 nations, and receives a score of 3.9 out of 10.0. ...receives a score of 3.9 out of 10.0. ...

Relatively peaceful countryRelatively peaceful country

Cities accessible from all cornersCities accessible from all corners

Local CompetitionLocal Competition

Companies: Companies: Guinness Ghana Breweries Ltd; Ghana Guinness Ghana Breweries Ltd; Ghana Breweries Ltd; Accra Breweries LtdBreweries Ltd; Accra Breweries Ltd

Location:Location: Accra, Kumasi Accra, Kumasi

Distribution stores: Distribution stores: 100 Throughout the countries100 Throughout the countries

Market share ( est.)Market share ( est.)

AB: 20%; GB:12%; AB: 20%; GB:12%; GGB: 8%GGB: 8%

AccraBreweries

GhanaBreweries

Guiness GhanaBreweries

Consumer typesConsumer types

Upper: Wines, whiskeyUpper: Wines, whiskey

Middle: Amstel, GuinnessMiddle: Amstel, Guinness

Lower: Stars( adventurous ; outgoing peoples)Lower: Stars( adventurous ; outgoing peoples)

Target MarketTarget Market

Over 38 % of the working force is are income earnersOver 38 % of the working force is are income earners

Self employed from informal sector constitue over 20 % of the Self employed from informal sector constitue over 20 % of the total population ( est. 2007)total population ( est. 2007)

LabourLabour

Abondant ;skilled ; cheap; accessible through Government; Abondant ;skilled ; cheap; accessible through Government; Chamber; union federation and newspapers aids.Chamber; union federation and newspapers aids.

Have sound relationship with labour federationHave sound relationship with labour federation

Workforce trendWorkforce trend

65 % of total population is 65 % of total population is economically active (est.)economically active (est.)

20% employed20% employed

40% unemployed40% unemployed

Total activepop

Employed

Unemployed

Local partnersLocal partners

Ghanaian Investment Promotion AgencyGhanaian Investment Promotion Agency

Ghanaian Chamber of Commerce and IndustryGhanaian Chamber of Commerce and Industry

Professionals BodiesProfessionals Bodies