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SME's - WIll China be the next colonial power in Africa

Guest post by: Dr. Rob Smorfitt

Article Overview: What is China's role in Africa?

Free Download - SMEs – SMEs struggling in South Africa. Why? By Dr. Rob Smorfitt
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SME's - WIll China be the next colonial power in Africa

China is an excellent trading partner for African countries. A key factor in their favour is that they do not care about your politics, only about your natural resources.

China is a heavy consumer of most commodities today and has a voracious appetite. They are in acquisition/investment mode and can be seen in many African countries. But they are not beneficiating in most cases. As usual Africa is in such a hurry to simply take the money and run, that they are not looking to the future. The Chinese are acting in exactly the same way as the colonial powers did.

When will Africa wake up? The Chinese NEED the products. They will be very negotiable, if they are negotiated with. They will go a long way beyond simply buying the product in its raw state, IF THEY HAVE TO. Where else will they get it?

While I expect China to act in its own best interests, these are not in the best interests of Africa.It is time a compromise was reached by negotiation. All beneficiation is happening in China. They are creating jobs at home for their populace. They are adding the value and growing their GDP.

We must wake up before it is too late?!

Rob Smorfitt

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Home > African-Accounts > Dr. Rob Smorfitt > SMEs WIll China be the next colonial power in Africa
Article Tags: Africa, beneficiation, China, economic development, entrepreneur, entrepreneurship, manufacturing, SME, SME development, SMME, Smorfitt, value adding

About the Author: Dr. Rob Smorfitt
RSS for Dr. Rob's articles - Visit Dr. Rob's website

Have an MBA and a PhD in entrepreneurship. Three key areas of ongoing research are entrepreneurship and innovation in large business strategy, the impact of legislation on SME development and SME finance. 


Run my own SME blog at http://sme-smb-smme.blogspot.com as well as an entrepreneurship and innovation for large businesses blog at http://innoveur.blogspot.com 


I have been self-employed since 1982. I have started or purchased in excess of 50 businesses since then. Most were sold again and a few were shut down because of a lack of profitability. Many were run by staff or family while I worked full time in my bigger businesses. 

Author of 6 books. Written articles for various magazines, newspapers and websites.  


Experienced in research within developing countries.

 



Click here to visit Dr. Rob's website
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SME, SMB, SMME, all the debate and info
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Related Forum Posts
Re: In-House or Outsource? Re: In-House or Outsource? - Unfortunately, in the South African context, very few SMEs see outsourcing as an option. They believe it is too expensive, and they are paranoid that someone will "steal their ideas". I believe that the three main functions that cannot be outsourced are marketing, sales and strategy. These must be done in house I believe. If you do not have the marketing skills then get them. Hire a consultant or attend a course, but get the skills. Even if you use a consultant, you need to understand what marketing is about, as no one knows your market like you do. Marketing is made to seem difficult and complex, but everyone who really understands their markets, can easily learn to do their own marketing. In South Africa, labour legislation is extremely inflexibile, and consequently labour broking is a large industry. This is an ideal starting point for SMEs in South Africa, as it is a legally complex area, whih comes with severe penalties. I say do it! Rob Smorfitt
Re: need advice Re: need advice - Africa is a pretty big place I think it is a question of where in Africa you would like to open a call centre. South Africa for example actually has plenty of call centres already operating, so it would very much depend on what part of Africa you are considering. MichelleJ
business in CHINA business in CHINA - Has anybody dealt with manufacturing companies in China? I need to find reputable company in China, which manufactures small electric appliances.
Any Ex-Bankers and Stock Brokers here? Any Ex-Bankers and Stock Brokers here? - We are looking for partners and collaborators especially ex-bankers and stock brokers to set up an operation in Indo China, where we believe the mid to long term growth prospects are tremendous. We are a business consultancy based in Singapore and have established a good network in Indo China over the last few years. Please PM me for more details.
Re: Newbie from Africa Re: Newbie from Africa - Hello Biiyke Welcome to the forum. Which part of Africa are you from it is quite a big continent? I live in South Africa. MichelleJ


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