Please refer to our new main site.

Monday, May 14, 2012

EXPORTING, Why consider the African marketplace, Part 2 - Business - Small Business

SELLER'S MARKET Any country that produces more than it consumes, is considered a buyers market, because the consumer has the option to buy exactly what they want from the market at any time especially when there is a high degree of competition involved. On the other hand, if a country produces less than it consumes, then this type of market is considered seller's market because the seller controls the market since there very few local producers and the demands are very high.Now consider the African marketplace, where most consumers buy whatever is obtainable and available in the market place. In Africa, the seller controls the market, hence the term "Africa is a SELLERS MARKET". In Africa, between 90-95 percent of the products and services are imported from the west, American companies need not be a house-hold name to win African consumer's trust once an appealing products, services and constructive business ethics are fine-tuned to meet the test of the international marke t place and the demands of the African market place. The only challenge for American companies is to spend time to study the consumer behavior of each market and an aggressive marketing campaign put in place for each market. Therefore in Africa, your consumers are practically guaranteed, nowhere else in the world is there a market more readily available for Americans to capitalize on than the African market place.EXPAND SALES VOLUME & INCREASE PROFIT POTENTIAL I will start with a story about two sales men who went to a developing country, the sales men saw the natives bare footed, one of the sales man wired back home saying "There is no possibilities of sales, natives do not wear shoes". On the other hand, the other sales man wired back home, "Hurry, quickly and send stocks, natives need shoes badly". The lesson of this story is that Americans have not learned to recognize market opportunities and are blinded by their comparison of the rest of the world to their standards an d styles at home. If only Americans can realize the size of the African market and the golden opportunity of expanding their market-reach to a population of about 660 million people and it is estimated that by the year 2025, the population would reach about 1.6 billion people. This is a market not to be reckoned with, it makes all business sense to do business with Africa. The share size of the market should be an incentive for any company wanting to expand their sales volume and increase their profit potential. Americans should stop playing the waiting game when it comes to expanding their market base. The African market place offers unprecedented market opportunities and profitability for American companies. No matter the political, economic and social situations in most of African countries, African business people will still continue to do business with the rest of the world. These political, economic and social situations are ancient excuses used by Americans to omit th e potentials of the African market place. Before the advent of the NAFTA, Americans were very hesitant and worried about the buying power and potentials of the Mexicans, but from all the reports on NAFTA, Americans are benefiting more from NAFTA, Americans are selling at the rate of $1billion per week to Mexico despite the lower buying potentials, yet Africa is about six time the population of Mexico. Note that for every billion-dollar export, 20,000 jobs are created in America; now translate that to the African market possibilities.In fact, on a business note, it will be a crime not to export and do business with Africa. Americans should take advantage of their Americaness, when it comes to the African market place. You want to know more about the African Market Place? Thank you for reading my article, click: The Works for a FREE POSTER!!!!!!!

No comments:

Post a Comment