SAf Opportunities
The investment opportunities in Southern Africa (SAf) are robust.
There are a number of ways to tap the burgeoning demand.
Joint Ventures
Each foreign market presents risks. Joint ventures offer the chance to partner with one or more local firms that can provide assistance in entering new markets. For companies that lack a basic understanding of their new customers or have yet to form appropriate distribution relationships, forming a joint venture with the right partner can provide instant access to established, efficient and effective distribution channels and receptive customer bases.
Note: SAf countries differ in their legal regimes relating to joint ventures.
Infrastructure Projects
One of the major obstacles keeping many of these economies from taking off and transitioning faster - and permanently - to a mature economy is their abysmal infrastructures. In the rural regions, reliable energy, clean water, public transportation, and roads are in great demand. These are services that private companies could provide profitably. This model has worked in China and India and could be equally successful in SAf.
Retail
SAf's large and neglected consumer base offers a great opportunity for retail companies. Not only can your company easily offer higher quality products at cheaper prices, but the growing consumer class has a healthy appetite for foreign products. More often than not they pay an excessive premium for those goods as they are scarcer than they should be. This situation presents tremendous opportunities to companies willing to make the commitment necessary to build a brand early and control the message surrounding their products. Establishing a foothold in SAf now can lead to long-term competitive advantages. Don't be last.
Developers
SAf offers some of the best real estale investment opportunities in the world. There is an immense amount of demand for shopping centers, housing, office parks, research centers, and other development projects. The great feature about the development opportunities in SAf is that you can make them as large or small as you desire- Potential developers should realize, however, that several of the countries of Southern Africa do have foreign ownership laws. These can easily be worked around with a joint venture or other options.
Special Economic Zones
Several of the SAf countries have created at least one special economic zone. These zones offer another way around the sometimes cumbersome laws of Southern Africa. Depending on the zone's purpose, they can create even more favorable conditions for manufacturing, imports, exports, or other industrial purposes. Even if there is not a zone that meets your company's specific purposes, New Economia has effective lobbying services that can assist in procuring the terms that will ensure your success.
