Africa is viewed as the next business frontier worldwide. In the last decade, we have been witnessing increased investment operations in Africa by US, Chinese, Japanese and European companies. Following in their footsteps are investors from ex-colonial powers UK and France, as well as fast growing nations such as South Korea and Turkey. Polish businesses are also finding Africa an attractive area for investment growth. Polish entrepreneurs carry bags of experience in operating in a fast growing environment such as the eastern economies of the European Union.
Market entry for Polish entrepreneurs in Africa differ that from larger corporations hailing from economies such as those of China, USA or western Europe. Polish companies need to focus on establishing locally-based joint ventures that can prove more effective in long-term plans. However, adapting to a different business culture environment can be challenging. Africa’s business culture is heavily based on interpersonal relationships. A similar environment existed in most developing countries of eastern Europe since the fall of the Soviet Union.
Polish businesses have the advantage of having learnt how to adapt in an economy with political and legal transitions and an unstable business environment with strong competition from richer foreign corporations. A similar situation is being created in certain African markets. There are no reasons why a larger number of Polish entrepreneurs should not capitalise on this.
There is however the question of where should Poles direct their interest. Polish businesses can ill-afford to spread their operations thin. Therefore choosing the right African markets are vital to achieving business success. East Africa is in the political and economical transition period of adapting to a vision of a united East African Community. This area with its human capital and rich natural resources deserves the most attention. Both, Kenya and Rwanda have seen Polish activity in the last couple years.
East Africa is therefore the ideal platform for Polish businesses to set foot in Africa. With a similar environment to that of eastern Europe during the 90s, Polish joint-ventures and cooperatives established in tandem with local partners can prove to be an effective entrepreneurial force in Africa’s growth story.