Friday, 24 August 2012


How much confidence do the African nations have in the U.S businesses and its government transparency after several decades which it had the opportunity to develop, trade and invest in Africa? The U.S. government have always advised its corporate businesses organization on several occasions that many African states have unstable political environment and no right thinking business will want to venture into such environment. But the Chinese businesses never cared about such information, knowing Africans want a change economically first, then all other things follow. The Chinese businesses and its government have now been able to change the landscape of the African society with its cheap goods not paying much attention to the type of governments Africans operate in just two decades. This was what the U.S. businesses and government would have done a long time ago, but the target of the U.S. government in Africa then was more concentrated on the type of government in African nations to determine if its businesses could operate in such terrain but only in stable democratic environments.

 The U.S. government preferred explaining to its manufacturing entrepreneurs and service providers that doing business in undemocratic societies are dangerous and this has denied those businesses a foothold in Africa. But made it possible for oil businesses which is the stimulator for the U.S. businesses to secure a foothold in few African nations with oil mineral deposit. In the same vain many African nations wondered why the U.S. will not allow African produced goods to enter the U.S. markets freely, but they got to knew later that it was all about protectionism which was devised as stringent conditions which made majority of African businesses continued to die gradually since it could not meet up with the set standards of the U.S. Department of Commerce.

China never saw any difficulty in doing business with the African people, because it knew every human being in a stable and unstable political environment desire one thing in common, which is personal growth and development that can only be achieved on the basis of mutual respect between two people or nations, no matter what type of government that is in power. Now that China has already spent years in Africa, building infrastructures and entering into several bilateral trades with many countries without stringent conditions but on mutual respect, and acting as a partner in developing the African society. It has shown that it studied where the U.S. government and its businesses lacked the capacity to understand the differences in business and politics. China presented itself that its willing to take up any commodity that never met the desired standard of the U.S. Department of Commerce and this changed the mental view of trade and investment between Africans and the world. It has won the hearts of many African business men and China is now the destination for business.

Is it not too late for the Africans to trust the American businesses which its government has consistently denied access to the U.S. market based on the high standard quality demanded by the U.S. department of Commerce. Sure, its never too late, but its businesses must study how the Chinese businesses got a better hold of the African markets. African markets can assist the U.S. businesses to rediscover what it has lost many decades ago. The population is increasing on daily basis and they are still consuming much, this is due to a rapid growing demand for different commodity in its market. What the U.S. government must do to make African markets assist its businesses is not to interfere in the free flow of trade and investment between the two continents and it must not interfere in the future of whatever trade policies entered into.

It will have to take the U.S. businesses years to learn how to operate in a new environment like Africa, this will be due to the manner in which the U.S. government interact with their Nigerian counterpart on the basis of common goal, the way the government and it businesses perceives the African markets and their ability to believe in the rapid growth of the African markets. Even though, it has the capital, it will have to convince the African population and its African stake holders that it is ready to do business and trade in order to improve the lives of the people.

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