ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Why you should invest your money in Africa

Updated on February 21, 2018
Where you see challenges, China sees opportunities.
Where you see challenges, China sees opportunities.

Wherever there are challanges opportunities exist.

As an African and European descent; my ultimate dream obviously is to see the condition of Africans in Africa improve. I always dream that one day the countries of this land would unite. And together they’ll bring once again enlightenment to the world like the Black Egyptians in Africa once did. Africa, the land of all people, the second largest continent with nine hundred million people is composed of 54 different countries. As an American, can you imagine United States of America being split into 52 separate countries? How unpractical would it be for us to trade? Conflict among states would have become an issue; war would have become inevitable just like we have seen with different nations in Africa. A united nation of Africa is the only solution. As long as Africa is divided between different countries she will always be a prostitute for empires to pimp.

Africa is the richest continent in natural resources, and yet most of her people are amongst the poorest in the world. How that came to be is an issue that most economist would prefer not to elaborate about. Those that do either lied about it or they simply won't tell or don’t know the truth. There is only a handful of economist who would tell you the truth about why Africans are poor, but they're not famous. Anyhow those who knows the truth would rather avoid talking about the issue.

However, some investors have been looking to build new factories in some countries of Africa. Some investors wishes to invest in local enterprises in a few of the African nations. Countries like China sees opportunities in Africa; and for that reason they look to build factories in Africa. Which is a good way to help Africa but not the only way. The method that’s not helpful to African nations is when these countries are offered help in the form of charity. That money never got to be distributed or invested within the economy of the country to which it was intended. The best way to help Africa, is to invest in its infrastructure by building roads, schools and factories.

We live in a time where the world economy is connected and accessible via the World Wide Web. Once our economy becomes fully connected it will become laughable for us to even think of ourselves as separate government. We have already see how the recession can affect the world economy; what will happen next is a joint venture between some of the biggest corporations in the world. This is why some companies are now exploiting the opportunities that are currently available in Africa. The one world government we wish to secure will not happen by face value; the people of every country will still desire their sovereignty. It is part of their culture and you cannot globalize culture, it is impossible. The one world government you might get will be one that is secured by global corporate ties who will work underground to guide and manage public conflicts, public dissatisfaction, corporate interest.

These corporations understand that if they want to continue growing they must expand their operation to the world poorest population by formulating products that the poor market can afford. The ability to increase sales by expanding an organization’s activities or operations to a different region is the outcome of a growth strategy.This strategy can be strategized to understand how to market products to population where the income level of the individuals are substantially less than most average countries. This strategy will have to incorporate an intense integrated low-cost differentiation strategy so that it become effective. What I'm conveying to you here is that corporations that choose to invest in those poor areas in Africa must produce at a price that is advantageous to them so that they make a profit.

I presume, since the income of the population in some countries in Africa are that low, corporations might as well consider building their factories there. The purpose of doing that is to raise the income of the very population they wish to sell their product to. They should do so by providing the Africans with jobs while subsequently developing a market for prosperity and growth to take flight. It is very much like the paradox killing two birds with one stone. You increase the median income of the population you also increase their buying power. And being that you have the competitive advantage there's no competitors around to feed of the market you have created for yourself. In essence you are creating a loop system by which some of the money you invest in human labor can come back to you.


To fully understand Africa, one must have had some comprehension of the opportunities that are currently open to investors. To consider these opportunities, one must have had some understanding of Africans in Africa. Some people have said that Africa is a dark country, it has an AIDS epidemic, high poverty rate, etc. These are things that some people say about Africa. Unfortunately, those who are ignorant of Africa will not benefit from the opportunities that are currently available in it. George Campbell, the geographer once said “The only thing that is dark of Africa is our ignorance of it.” I now understand his reasoning since most people seems to think of Africa as a country. In order for one to say that there are no opportunities in Africa one must be willing to say that there is no opportunity in gambling. It is true that there are challenges in Africa, but wherever there are challenges opportunities exist. Investors can lose or make money in Africa just like any stock investment. The bottom line is that investing in Africa is a low risk investment depending on how one looks at it. If you are looking for short term investment than investing in Africa risky business. If you are looking for long term investment in Africa than Africa is the place you wish to be. Why? Because many countries in Africa are still virgin. Meaning that these countries are underdeveloped. Thus, every major road that is built in Africa is an opportunity for developers to expand their resources and capabilities to secure a chance for a long term growth.

In order for investors to invest in Africa they must understand that corporations follow the law of a ruling government, but they are not controlled by them. They're there to protect the interest of the corporations and to protect the platform in which business is conducted. If people can begin to understand that they would come to realize that the world is not truly being governed by countries, but instead by corporations. It is only then potential investors can understand why investing in Africa is a good investment. Until then some investors will continue to neglect the opportunity to develop markets in the countries of Africa.

A threat can also be described as when a company fails to take advantage on a currently available opportunity. A company that fails to act on an opportunity because they have miscalculated the future outcome of their investment has left the door open for their competitors to initiate a threat. This is why any company who has invested in the opportunities that Africa has to offer will have established a customer base that will not be comparable to new arrival competitors. Since it is not possible for companies to invest in all the opportunities that Africa has to offer; every opportunity they miss or leave pending they’re leaving themselves exposed to a potential threat.

On Wednesday, October 24, 2007 Goldman Sachs released a report that predicted that the year 2020, Nigeria will be among the top ten world economies. The report also indicated that CNBC has Launched CNBC Africa, a 24 hrs news network. My first respond to this was why would they do that? They have implemented a growth strategy by moving part of their business to a different region. Then I realized why - they have done it because they have access to information that projects certain economic outcome that most of us regular folks just don't have. I believe the incentive for initiating this news network in Africa reveals that they are expecting investment to fallow. If you take a look at the report, you’ll notice that inflation has decreased from double digits to single digits in countries like Zambia, Egypt and Nigeria. Looking at this report, one can also noticed that there are other opportunities that are available for many companies in America to initiate an investment.

Tanzania needs investors to help established standards for organic produce, that's a possibility for access to opportunity. If new roads are needed to be developed, that should count as opportunity, energy needs that's opportunity. 10% of Nigeria’s population has bank account, that’s opportunity, if there's an increasing for automobiles this would equal opportunity. These opportunities that are currently available in many countries of Africa is for investors all over the world to initiate an investment for future prospects in Africa. It is up to you the executive to decide whether you see opportunity or challenges.

What this report demonstrate is that a threat must not necessarily occur in the present tense; sometime the most severe threat lies in the unpredicted future. Therefore, this is why it is extremely important for companies to follow trends like return on investment, gross domestic product, public needs and population expansion. This way, companies will be able to envision where the next economic boom will take place, so that they can take appropriate measures to exploit every opportunity they get.

Although companies should pay attention to these future threats, the present threats are just as significant if not taken seriously. However, the current threat to some companies is their inability to quickly deploy their dynamic capabilities which are helpful for introducing new products to be sold in the market. This inability will then open new doors for new entrepreneurs to initiate a threat.

The ability for other entrepreneurs to enter the industry is always a threat to any company, regardless of its size. The last threat I will mention is the major stakeholders who are the stockholders, their ability to redraw from their investment is a huge threat that all organization faces. Now, if you sorely think in terms of threat you’ll never notice an opportunity. As a company, it is always important to manage risk by weighing opportunities with weaknesses & threat. It is the only time you’ll know whether or not an opportunity is advantageous.

Honeywell, Lafayette. “Procter & Gamble looks to poor markets for growth.”[Mongabay] Available http://news.mongabay.com/2007/0715-wsj.html, July 15, 2007

Kambo, Frederick. “Addicted to the hustle.” [Goldman Sachs] Availablehttp://freddkambo.blogspot.com/2007/10/invest-in-africa-get-rich-repeat.html, Oct 24, 2007


Comments

    0 of 8192 characters used
    Post Comment

    • profile image

      Apostle Conto 

      7 years ago

      Great Analysis of the socio-economic state of the Continent!

      However, I propose a new approach for a new Continent of Africa. There are three levels of Liberty that Africa must go through before she can reach the point of economic prosperity, or what I call Liberty from Poverty.

      She has reached the first two, and on her way to the final stage. The first stage was Liberty from Death, Spiritual Power, with the coming of the Gospel through Liberia. The second was Liberty from Slavery, Political Power, with the coming of political independence through Ghana. The final stage is Liberty from Poverty, economic proseprity, which shall come through Nigeria.

      Therefore, Africa needs a new vision that comprises of Spiritual, Educational and Economic Development, indeed Liberty from Death, Liberty from Slavery, and Liberty from Poverty.

      I call it the New World 137731 Liberty Vision.

      1 Purpose: Unity with God, unity with man & unity with self;

      3 Commissions: Preach the Lord of Liberty, Teach the Law of Liberty & Heal the Land of Liberty;

      7 Tenets: God in Government, Education, Family, Faith, Deed & Lifestyle;

      7 Pillars: Sell Hope, Build Faith, Teach Love, Inspire Purpose, Develop Character, Impart Knowledge & Provide Opportunity;

      3 Missions: Community, Country & Continent;

      1 Foundation: Word of God as Building, Establishing & Living Manual.

      That's the new Africa that is on the rise! A new Africa of Real Leaders of men and women whose lives are invaded by the Spirit of God, and characters framed by the Word of God, who understand that government is a ministry of God to serve humanity. Men and women who will see all Africans as God's people, regardless of religious subscription, and lead them to the promise land of unity, liberty and peace with their heads, stand with them with their hearts, stand behind them with their hands, and stand before them with their faith.

      To prove to you what this vision of God in government, God in Business, God in Education, God in Family, God in Faith, God in Deed, and God in Lifestyle, can accomplish for a people, read about Bishop David Oyedepo and Canaan Land www.davidoyedepoministries.org.

      If one man can turn an evil forest into a first-class city of over 50,000 worshippers and 6,000 university students, imagine what a nation can do if her people fully turn to their Creator and let His Spirit invade their lives and His Word frame their character to conduct the Love, Light and Power of God in the earth.

      That's my dream for the new Continent of Africa, a new continent of Real Leaders in Government, Real Integrity in Business, Real Knowledge in Education, Real Love in Family, Real Hope in Faith, Real Service in Deed, and Real Moral in Lifestyle.

    • profile image

      IDDI 

      8 years ago

      The only thing that makes me happy is that most white also like Africans and can see that they pray for the rise of Africa LETS JOIN HAND AND PRAY TOGETHER TO THE ALMIGHTY GOD

    • Neil Ashworth profile image

      George Poe 

      8 years ago from United Kingdom

      Very good hub.

    • Coolbreezing profile imageAUTHOR

      James Dubreze 

      8 years ago from New York, New York

      Hey! DR. O

      thanks for your comment. I hope to see the day when all the countries in Africa becomes one.

      And as for you snow, thanks for the complement, but can't take on your challenge as of now. I must say it's an interesting issue - and yes it can work. To proposed that it won't is the same as saying that Africans won't unite even for the benefit of their own interest.

      If the interest is beneficial to all Africans across the continent then why not. But I know it is easy said than done. Yes it's not going to be an easy task but it's possible. However, i know that the answer you're looking for demand a longer explanation than i have offered. However, you should keep in mind that there are other forces that may want to prevent an idea as such from occurring. As we know, where ever there are natural resources, corruption exist. Well, in that sense if the leaders of Africa can manage to reduce the influence of those who corrupt - The united nations of Africa would then be one step behind. Thanks for your comment ..

    • profile image

      snow_white88 

      8 years ago

      i find it interesting that you think a "united nations of africa" (united states of Africa as we refer to it) is the solution. mmmm....a topic of real debate... i wonder if you would like to share a little bit more on the issue:- ) https://hubpages.com/question/41162/united-states-... . on the question of how africa came about to be the poorest of all can be a long explanation but in summery it all lies within history of colonisation. decolonisation may have taken place but only politically... neo-colonialism still thrives on the soils of Africa. look out for my next hub...I will brush on this very emotive topic.

      fantastic hub!

      x

    • profile image

      Getinet 

      8 years ago

      I am Ethiopian and working in government organization. any one who is intersted to invest here,I can facilatate any procedures

    • Dr. O profile image

      Dr. O 

      8 years ago

      Good analysis. We forget that it took USA 100 years to come to grips with the idea of a constitutional union even though the constitution had been written in 1787. The idea of independence in Africa is just alittle over 40 years old. So it is quite a young one. The first generation of leaders of independence are finally dying off. Which means, it will be the third generation leaders who will have the courage and the knowledge to understand that Africa united is the only solution to the worsening conditions of our people. Wait for it, it is on the horizon. It takes time.

    • profile image

      dino 

      8 years ago

      africa can make it am sure

    • profile image

      SHASHANK SHEKHAR 

      9 years ago

      hi great i wish to invest money at africa. write down the deatils

    • Coolbreezing profile imageAUTHOR

      James Dubreze 

      9 years ago from New York, New York

      Bkcreative thanks for the respond. it's good to konw that some of us are still conscious about the current state of Africa but i must reject your last statement. "interesting too how only a man with African roots can get us out of this mess" those of us who depends on one leader to rescuer us are living a false reality. Obama depends on us to make his leadership worth whild it is not the other way around.  If we want to save Africa from mal nutrition, poverty we the people must do something about it. That include you, me, all of us,  Africans, Europeans some of them do care and any others who wants to help.

    • BkCreative profile image

      BkCreative 

      9 years ago from Brooklyn, New York City

      Yes, it is time for Africa to reclaim her rightful place in the world. China has enough sense to look towards the Motherland. We don't in the US/West because we have always prefered to steal all the natural resources. Now that we can't so easily - we have totally crashed and burned and entered a depression - pretending it is a recession.

      As an educator it took us a long time to finally have (somewhat) accurate history books.

      Interesting too how only a man with African roots can get us out of this mess.

      Spending time in Senegal was the best time of my life.

      Thanks for writing this!

    • Coolbreezing profile imageAUTHOR

      James Dubreze 

      9 years ago from New York, New York

      Thanks Juliet have fun in Jamaica ...are you in vacation or you live there.

    • Juliet Christie profile image

      Juliet Christie Murray 

      9 years ago from Sandy Bay Jamaica

      I am way over in Jamaica but what you are saying is familiar.Very educational

    • Coolbreezing profile imageAUTHOR

      James Dubreze 

      9 years ago from New York, New York

      Thanks buddy, 

      Since you’re closer to the movement than I, you can almost feel the door being revolved.

      Well, my friend you’re quit right, Africa will rise once again because if it’s must be, it’s completely up to us.

    • Sufidreamer profile image

      Sufidreamer 

      9 years ago from Sparti, Greece

      Great Hub, Old Friend.

      I have the impression that one day, Africa is going to wake up and realise that it is strong. Millions of well educated African graduates and entrepreneurs are slowly turning the continent around - small investors are the driving force behind any economy. Whilst there is alot of difference between Berbers and Zulus, for example, 'African' is becoming a proud identity.

      If this part of Greece starts becoming like the rest of Europe/North America, Ethiopia may be the next port of call. As well as a good investment, it has some wonderful history.

      Thanks for the insight!

    working

    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: https://hubpages.com/privacy-policy#gdpr

    Show Details
    Necessary
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
    Features
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Marketing
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Statistics
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)