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SMEs - a big opportunity in Africa
| Guest post by: Dr. Rob Smorfitt |
Article Overview: All my travels in Africa have revealed a massive opportunity ideally suited to the SME
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Free Download - SMEs – SMEs struggling in South Africa. Why? By Dr. Rob Smorfitt |
SMEs - a big opportunity in Africa
There is a factor which is to be seen wherever I have travelled in Africa. The lack of infrastructural maintenance.
Nothing is maintained. Roads, buildings, trains, road signs, grass verges. You name it, it is never cleaned nor maintained. Firstly maintenance can dramatically extend the life span of infrastructure. Secondly it is a great business/job creator.
These jobs also tend to be very manual, and therefore do not pose a threat to job creation and retention. But it never happens. An example is a IBR roof. Assuming the weather conditions prevailing will cause a roof to rust through completely in 10 years. Currently it will cost upwards of US$ 10 per square metre to put a new roof on, whereas a coating of paint will extend the life by a further 5 years if applied properly at a cost of US$4 per square metre. Thereafter, there is nothing to stop this process being repeated for 20 to 30 years. This clearly shows the benefit of maintenance over replacement.
Come on Africa. You desperately need SMEs that are sustainable. Here is a simple yet large opportunity to make a difference and also save your government money, while making your country more attractive to tourists and looking less like a destitute country.
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Article Tags: Africa, infrastructure, maintenance, opportunities, opportunity, SME, Smorfitt
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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  
 SMEs still a strong component in the South African economy SMEs the impact of regulation SMEs the future is bright SMEs interventions in developing countries SMEs survivalist start ups in South Africa present a unique problem |
Related Forum Posts
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
- 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
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
Adventure travel to Africa.
- Africa is a place where adventure is taking place. If you are a travel who loves adventure, nature, culture you should visit Africa. Safari Village operator is a .leading tour operator in Kenya who are offering marvelous tour packages to Africa.
Saffari Villages Online is a trusted name for africa travel.
Re: Newbie from Africa
- [quote="Evan":22gvtxlq]Welcome to the forums Biiyke!
You asked if we know any sellers who were trying to reach the African market... I think you'd honestly have more luck going the other way - try to find sellers in Africa and sell to the rest of the world.[/quote:22gvtxlq]
Hello Evan,
You are absolutely correct.Thank you for your advice.That's actually the whole idea,Africa to the world and the world to Africa. So I will throw more weight on that area.
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