Notes from Columbia U’s 2010 Africa Economic Forum

2010-AEF-Logo-300x223Last week I attended Columbia University’s annual African Economic Forum (AEF). The two-day conference was a diverse and insightful one with discussions ranging from Branding Africa to the growing, sometimes controversial China-Africa relationship. The organizers put together a great program with much discussion during and in-between panels. While I couldn’t attend the full program, I was able to participate in some great discussions with attendees and panelists in the Africa Arena. I’ve provided my notes from the discussions I was able to attend below. My notes cover a mixture of discussion topics and perspectives from the esteemed panelists and attendees. Please keep in mind that the notes below are portions of the hour plus long discussions from my perspective as an attendee. If you have any insight into any of the topics in my notes please feel free to comment. For clarification on any of the points in my notes please shoot me an email.

ATTENDANCE NOTES:
Panel: African Fashion Going Global
Moderator: ZANDILE BLAY, Market Editor, Paper Magazine
Panelists: OLUCHI, Supermodel and the Original Face of Africa; BUSIE MATSIKO, CEO and Co-Founder, Fashion Indie Media; AISHA OBUOBI, Designer & Founder, Christie Brown; MIMI PLANGE, Designer and Founder, Boudoir D’huîtres

  • Should Africans sell primarily to Africans?
  • African designers are more torn about designing Africa-inspired clothes vs. other western designers designing Africa-inspired clothes
  • Western designers are not limited or stigmatized when using African influences in designs
  • Should there be an African fashion capital? Some panelists say no
  • Is there a viable African consumer enough to support African fashion industry?
  • Designers don’t want to get pigeonholed as an ethnic designer; need room for growth
  • There is very limited support (i.e. factories, retail outlets) for African designers on the continent
  • Some panelists say African designers should focus on African consumers rather than targeting global consumers first
  • There is lack of business expertise among designers on the continent
  • Designers need to partner up with business professionals on the continent
  • Pricing African designs is tricky
  • Not too many Africans will pay high prices to support African designers
  • There are two types of African consumers: 1) those that travel and buy high-end western clothes 2) the locals who can’t afford couture and buy mass
  • It’s hard to produce on the continent particularly if you’re not doing mass production
  • Many African designers aspire to go to South Africa fashion week because it’s the top African continent fashion industry
  • Just like you don’t only have New Yorkers in New York Fashion week, South Africa’s Fashion Week has Africans from all over continent
  • African designers get inspiration from everywhere just like other designers
  • Some African designers are more drawn to cultural design than others

Continue reading “Notes from Columbia U’s 2010 Africa Economic Forum”

K’Naan launches Coca-Cola World Cup campaign

Somalian-born, Canadian-based hip-hop artist K’Naan has specially recorded a version of the song “Wavin’ Flag”, originally featured on his 2009 album Troubadour, for the Coca Cola sponsored 2010 FIFA World Cup tournament, hosted by South Africa. The remix, “Wavin’ Flag (The Celebration Mix)”, will be part of Coke’s global integrated marketing campaign rolling out in over 150 countries this summer. The track will be used as the main music element throughout the entire campaign including as the soundtrack on all TV commercials, played at FIFA World Cup Trophy Tour by Coca-Cola events, featured on the online digital platform and more.

The campaign developed to support (Coke’s) sponsorship of the landmark sporting event is an extension of the current Coca-Cola brand platform “Open Happiness. (It) invites fans to express their optimism and passion for football through active dance celebrations.

Video: K’Naan World Cup Coke commercial featuring Spanish pop singer David Bisbal

Video: Coke FIFA World Cup Trophy Tour multimedia booth

If you can’t see the videos above click here

Top 6 African business and culture trends to watch in 2010

Africa_fireworksIf, like me, you’ve been watching people and events surrounding Africa in mainstream and non-mainstream news, you’ll know that 2009 was a big year for Africa, From President Obama’s visit, to the new fiber-optic cable in Kenya, there was a lot of president-setting efforts going on in Africa. While there were the instances of political unrest, in all I think African countries had one of the better years. Looking forward to 2010, Africa seems in line to be put through some vigorous tests, From politics to agriculture and technology, in 2010 Africa will be challenged to show the world what is brewing under the hood for the next decade. Here are a few trends I think will greatly influence how Africans live and work in 2010:

1. Trickle-up innovation/reverse innovation

In 2007 C. K. Prahalad, author of The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits, highlighted five ways that developing nations are often ahead of the curve and how multinationals can adapt to the the changing product development lifecycle. In 2010, though some analysts say the global financial crisis of 2008 and 2009 is in recovery, we’ll continue to see an increase in businesses looking to developing nations, including Africa, as ground zero for new product and service innovation. Organizations will not neglect consumers in developed nations though. Rather, developing nations will take precedence in business development, with markets in the west getting re-targeted efforts already proven elsewhere. The big question is will African nations also turn their innovation sights into Africa to bolster African business and gain a home-field advantage against foreign businesses.

Watch: Google, GE, Microsoft, Nokia

2. Mobile and connectivity growth and standards
At this point, mobile technology is synonymous with connectivity in Africa. From government to industry, Africans are growing more reliant on the mobile phone for all aspects of life. 2010 will see a continuance of this trend within communities, and more importantly, governments will increasingly begin to use the mobile phone as a way of reaching African civilians. We are already seeing that in Kenya’s Obama-inspired mobile campaign to educate Kenyans on public policies. Beyond mobile technology, we’ll also see a surge in government-funded connectivity efforts and legislation around Africa. With the new fiber-optic cables launch in Kenya and other regions moving more services from analog to digital, Africa’s connectivity will be a priority for forward-thinking leaders. Case in point is the Kigali government’s recent launch of a $7 million wireless hot spot facility. We can expect to also see a lot of foreign investment in development and organization of the African mobile sector. I, for one, am looking forward to the growth of mobile innovations by African entrepreneurs. Hopefully African private and public sectors can engage the independent developers to accelerate the mobile industry in 2010

Watch: Government data centers,  2010 Fifa World Cup mobile marketing, Netbook market growth, M-pesa, Fiber-optic cables usage, MTN, KenyaAirways on Twitter, Zain, Safaricom

3. Rise of the African creative class
For the past several years, young Africans have been struggling to define a new identity for the themselves in the connected global community. As political stability has solidified in many African countries and African youth have begun to exert their influence at home and abroad, a community of independent creators have strengthened their voices and come to the forefront to re-define Africa for the 21st century. Fueled by connectivity, voluntary repatriation, international travel, and the growth of African cities, Africa’s creative class will be at the center of shaping Africa in 2010. In 2009 we saw African blogging reach it’s peak and a surge in African style and design multi-media channels. From Arise Magazine, to BHF Magazine, to Design Indaba, the exploration of what it means to be African in the 21st century continued to influence all areas. In 2010, with the debut of the 2010 Fifa World Cup in South Africa, we will see Africa’s creative class flexing their influence on everything from technology, to government policy, to international business. With so many African and foreign private and public organizations hoping to capitalize on the event, Africa’s creative class will be at the center of it all. As the core drivers of Africa’s urban areas, the creative class are the ultimate influencers. 2010 will be the year when they will be thrust into the limelight internationally. Let’s hope they (we) are ready.

Watch: Arise Magazine, Fela on Broadway, Design Indaba, Maker Faire Africa 2010, The Blk Jks, FESPACO, African Gay & Lesbian groups, Paul Sika, African Avante Garde

4. The Africa brand and tourism
The 2010 Fifa World Cup will have a major impact on Africa whatever the end result is positively or negatively. Most importantly, the World Cup will challenge African tourism, marketing, infrastructure and related industries to develop and maintain a consistent African brand identity. With the advent of high-profile global events like this and a need to share resources, African governments will have to re-visit and form cross-border alliances. While we have already seen regional groups like the East African Community strengthen their intergovernmental ties, 2010 will be the year when all African countries will have to answer the cross-border alliance question at the behest of foreign political engagement.

Watch: 2010 Fifa World Cup, African government summits, Cross-country tourism packages,  ICT sector, “Made in Africa” labeling

5. Africa and African-Americans
Not much has been said about the growing relationship between Africans and African-Americans. By and large there is still a communication rift between the two groups. But slowly, the relationship between the two groups is becoming symbiotic. While I don’t see a major shift in opinion between the two groups happening in 2010, I do expect a continuation of the rapid growth of African-American wealth to playing a part in African development. Resourceful and wealthy African-Americans will continue to invest in African culture and politics both on the continent and abroad, while Africans borrow from African-American history for lessons on developing an international identity. Particularly, a growing number of African-American entertainers and business people will see Africa as an extension of their life in the United States. some will even maintain plans to buy and move to the continent seeking a more personally and financially fruitful life. Africans will also begin to formally recognize this trend and capitalize on the brain gain. As more African-Americans look to Africa, African will become more high profile in African-American press pushing Afropolitan culture further into American pop culture.

Watch: Fela On Broadway, African real estate development, Africa correspondents in urban media, African-American foreign invetment groups.

6. China..and India
In November 2009, China pledged a multibillion-dollar package of financial and technical assistance to African governments over the next couple of years.  This was among one of the many efforts by Chinese government and business to form a tight alliance with Africa. China’s relationship with Africa will continue to dominate Africa news in 2010, with support and objections from many diverse groups as we’ve seen in 2009. The new year will also see an increase in Indian alliance with countries within the continent though it will continue to pale in comparison to China’s efforts. India and Africa will strengthen their ICT development relationships as African countries continue to push themselves as outsourcing destinations.

Watch: India-Africa learning trips, Chinese import export from Africa, Sino-African cultural conflicts.

What do you think? What other trends will influence Africa’s growth and development in 2010? Please share your comments.

Europe’s $774 billion African desert solar power project launches

desertec-africa-sahara-solar-map

Investors and industrialists from 14 companies met in Munich, Germany recently to formally launch Desertec Industrial Initiative, a €400 billion ($774 billion) collaborative project to provide 15% of Europe’s energy via solar power from Africa’s Sahara desert by the year 2050. Since it was formally announced earlier this year, the project has gotten mixed responses from development and renewable energy groups.

Speaking about the benefits of the project MEED Magazine writes:

Desertec’s backers say the scheme will create jobs and boost local economies. Some go so far as to claim it could even reduce the number of economic migrants to Europe. Governments on both continents will need to collaborate to define a regulatory and legislative framework for the scheme. If Desertec can overcome these hurdles, it will set a precedent for international energy co-operation.

But critics of the project also give some strong points. New Scientist Magazine writes:

Critics are lining up to point out the project’s shortcomings. They say it could make Europe’s energy supply a hostage to politically unstable countries; that Europe should not be exploiting Africa in this way; that it is a poor investment compared to covering Europe’s roofs with photovoltaic (PV) solar panels; and that, while deserts have plenty of sun, they lack another less obvious but equally indispensable resource for a solar thermal power plant – water.

Despite the debate, the project seems to be moving ahead with North African countries like Tunisia and Algeria showing support and making plans.

What do you think? Is the Desertec project good or bad for Africa and/or Europe?

More about the project and it’s launch in the videos below.

If you can’t see the videos click here

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Morocco’s desert region a widescreen backdrop for Hollywood films

Speaking about the Ouarzazate region in Morocco, The Global Post reports:

Chances are you’ve unwittingly seen this region’s wild vistas in any number of movies. Among other locales, the desert was billed as Iraq in “Body of Lies,” dressed up as Jerusalem in “Kingdom of Heaven” and transformed into ancient Egypt in “The Mummy Returns.”

An array of ready-built sets, cheap labor and stunning landscapes has helped turn this sleepy provincial capital into a Third World Hollywood.

Production remnants abound, from concrete castles and plaster villages, to an American gas station falling to pieces beside a two-lane road. Featured in the horror film “The Hills Have Eyes,” its English sign offers non-existent beer to the Muslim drivers passing by.

But veterans of the country’s film trade say they wish more of their studios were in use this year. The global downturn has caused several big films to cancel or push back start dates, delaying cash upon which a growing population of technicians, actors and extras have come to depend.

The video below tells an interesting story of the North African desert’s draw for Hollywood.

If you can’t see the video above click here.

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Liya Kebede stars in Somali supermodel Waris Dirie’s biopic

Supermodel Waris Dirie’s book Desert Flower: The Extraordinary Journey Of A Desert Nomad, published in 1999, helped fuel the open discussion of female genital mutilation in her native Somalia. After spawning two follow-up books, Desert Dawn and Desert Children, the original book is now premiering as a feature film starring another supermodel, Ethiopian Liya Kebede. Watch the trailer for the new movie “Desert Flower (“Wüstenblume” )” below. More about the movie here.

If the video is not visible below click here.

(via Africa_Visual_Media)

Trending Africa Nov. 18, 2009: Jay-Z, Will Smith produce Fela! musical, China’s $10bn for Africa, Dinosaurs in Africa

fela_musical

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Microsoft, GE look to emerging markets for reverse innovation and profits

GE's healthcare reverse innovations

When GE chief executive Jeffrey Immelt wrote in this month’s Harvard Business Review that GE’s “Success in developing countries is a prerequisite for continued vitality in developed ones” and as a result the company was full on adopting the reverse innovation model, he sent shockwaves through the US-based business world. Looking at the numbers though, who could argue. The HBR article explains that “GE’s revenues outside the United States soared from $4.8 billion, or 19% of total revenues, in 1980, to $97 billion, or more than half of the total, in 2008.” all while the global economic crisis surged on.

… (business leaders) are shifting their energies from managing the present—surviving the financial and economic meltdowns—to creating the future. But we worry that too few U.S. business leaders have recognized that the future is far from home. Indeed, many of the innovations that propel global economic growth over the next few decades will originate in the developing world. – BusinessWeek

While the idea of reverse innovation – or trickle up innovation as the business practice is sometimes called – is nothing new, the business climate is ripe for it’s large scale adoption. With the global economy in peril, and waning consumer confidence particularly in the west, multinationals are increasingly seeking alternatives to old revenue and product development models. Reverse innovation – creating entry-level products for developing nations and then repackaging them for sale in richer nations – solves many problems for multinationals including reducing product development costs and increasing revenue by diversifying globally. But to truly see the gains of a reverse innovation business practice companies must make an honest effort to observe what makes it profitable; most importantly, understanding how emerging markets like China, India, Brazil and Africa, have become politically stable, more self reliant, and how innovation is now driven locally.

In a Businessweek article, C.K. Prahalad, author of the newly reissued The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits gave 5 tips for trickle up business innovation:

  • Affordable Products – Emerging nations can’t afford goods priced for the U.S. and Western Europe, which pushes companies to find inexpensive materials or manufacturing options.
  • ‘Leapfrog’ Technologies – Developing countries lack 20th century infrastructure and so have fast-forwarded to newer technologies such as mobile phones or solar energy.
  • Service ‘Ecosystems’ – Entrepreneurs in poor nations often must rely on others for help, creating new partnerships like video-game cafés where gamers test offerings such as online identity verification.
  • Robust Systems – Emerging markets require products that work in rugged conditions. A gadget sturdy enough to survive monsoons can handle spilled coffee in Boston or San Diego.
  • New Applications – Customers in poor countries have few product choices, providing market openings for add-ons that update and extend the lives of existing merchandise.

More on Reverse Innovation / Trickle Up Innovation

Interview: GE’s Vijay Govindarajan, chief innovation consultant, Discusses `Reverse Innovation’ (Bloomberg audio)
Vijay Govindarajan talks with Bloomberg’s Tom Keene and Ken Prewitt about technological “reverse innovation,” or developing products in emerging countries such as China and India for sale there.
[audio:GEReverseBloomberg.mp3]

Interview: Microsoft’s Trickle-Up Strategy – (Businessweek audio)
Microsoft is looking to developing-world audiences for inspiration on new products for the U.S. Now it is also increasingly hunting for R&D talent among students in emerging markets. The company’s Amit Mital explains.
[audio:MsftTrickleBusweek.mp3]

Feature: Innovation Trickles in a New Direction – (Businessweek video)

The long-lasting impact of 2010 World Cup on S. Africa

2010 FIFA World Cup
Image by coda via Flickr

This guest post by John Kim

The Olympics and FIFA World Cup are often hailed as huge boons for their host countries or cities. At least that is how they are described prior to the event. Local organizing committees, civic and business leaders, and celebrities alike sell the economic, social, and cultural benefits of hosting international games.

But history has shown that the bold projections and promises are not generally met. A few noted successes have been the Barcelona Summer Olympics in 1992 and the 2000 Sydney Summer Olympics. Barcelona is hailed as a good example of using the Olympics as an opportunity for making long-term investments in the city’s infrastructure. Sydney’s event is noted as contributing to the successful branding of the city and country resulting in increased tourism.

But there have been many that have not lived up to their promise such as the 1976 Montreal Olympics. Vast structures were built only to never be used again and leaving the city and taxpayers deep in debt.

What will be South Africa’s legacy? No doubt the event will bring a huge boost to the GDP from tourism and the sale of merchandise. Efforts are being made to increase the footballing infrastructure in support of the next generation of South African footballers. Intra-city transport systems will see vast improvements. And large new stadiums are being built all around the country, which have contributed to the direct employment of many South Africans. But what will happen when the games are gone and preparations are being made for Brazil in 2014? What will happen to these gleaming and impressive new stadiums; the 94,000 person capacity Soccer City in Soweto. How will the local communities benefit in the long-term from these efforts and expenses?

The 2010 World Cup in South Africa, more than any before, comes with a huge responsibility to all involved; it needs to be a success. And it needs to be a launching pad. I argue that more than ever before multi-national corporations, long-time sponsors of the events, need to embrace this opportunity and make an even greater contribution to the country, beyond the usual sponsorship efforts. Corporations can help make a lasting impact, for themselves (increased brand awareness and market penetration), and more importantly, for the country and its people.


John Kim has his master’s in public policy from Georgetown University and has worked in Morocco, South Africa, and Malawi. He blogs about the World Cup and corporate social responsibility (CSR) at www.WorldCupCSR.wordpress.com and you can follow him on Twitter @WorldCupCSR.

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