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”

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.

District 9 success and 19 Emmy nominations boost Africa as emerging TV & Film production locale

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With the recently released South Africa-based filmed District 9 heating up conversations online and smashing box-office numbers Southern Africa is strongly maintaining it's role as a popular destination for Hollywood motion picture production. Not one to forgo the cost-profit benefits of filming in Africa, television networks are following suit, ramping up their hiring of crews in Southern Africa for program production. The results are a record 19 Emmy nominations for Africa-produced programs this year. I predict that the trend will continue rapidly as media companies struggle for new ways to generate revenue, and Africa nations learn to take advantage of marketing opportunities such as the upcoming 2010 FIFA World Cup.

Southern Africa is emerging as a destination for runaway TV production, as the 19 Primetime Emmy nominations for shows shot in the region prove. HBO's "Generation Kill" miniseries about U.S. troops in Baghdad filmed in South Africa, Namibia and Mozambique via Out of Africa Entertainment; Fox's "24: Redemption" shot in South Africa with Moonlighting; while "No. 1 Ladies Detective Agency," the BBC adaptation of Alexander McCall Smith's bestselling novels, filmed in Botswana with Film Afrika. Approximately 90% of the cast and crew on all three productions were South African — indeed, four Emmy noms are for local crews…

And with Cape Town Film Studios scheduled to open a Hollywood-style studio on the tip of Africa early next year, the volume of TV projects coming to South Africa is only going to increase.

More at variety.com

African communicators plan Africa re-branding strategy for 2010

African communications experts will meet at the 3rd Annual 2010 National Communication Partnership Conference on 29 and 30 July to strategize about the steps they will take to maximize the tremendous advantage the upcoming 2010 World Cup will bring to South Africa in particular and Africa in general. Under the theme “Africa’s time has come – mobilising for 2010 and beyond”, the convention will provide a forum for discussion about how best to take advantage of the 2010 FIFA World Cup and project Africa positively to the world.
Continue reading “African communicators plan Africa re-branding strategy for 2010”

Puma’s love affair with African football deepens

Puma Ghana Peace OneBeing the No. 4 sporting-goods brand is tough. But Puma is betting that backing African football (soccer to Americans) will differentiate the brand and win it a significant increase in market share. Continuing with the company’s commitment to African football made during the 2006 World Cup Games, Puma put some serious resources together for product and marketing efforts behind the 2008 African Cup of Nations held recently in Ghana. As a sponsor for 9 out of the 16 African teams, including tournament hosts Ghana and champions Egypt, Puma worked hard to make the brand synonymous with African football, even going so far as buying the Ghana team a top-of-the-line Mercedes-Benz bus for transport between matches. The company began it’s Cup of Nations efforts with a sponsorship deal for Eurosport’s live coverage of the games and then a press conference at the brand new Puma store in Ghana’s Accra Mall. The press conference was held to announce several activities on the ground during the tournament, including a youth exhibition game co-hosted by the Peace One Day charity and edun Live and featuring African football legends Roger Milla and Anthony Yeboah. Continue reading “Puma’s love affair with African football deepens”

Branding Africa for 2010

World Cup 2010 in South AfricaBefore the 2006 World Cup was over, many people had already shifted their focus to the 2010 World Cup which will be held in South Africa. With Puma sponsoring the African teams this year and Ghana making a great attempt to reach the finals, no-one can deny Africa’s shift to the spotlight. In 2010 the world will be watching as our leaders try are-branding of Africa. Long looked at as the “dark continent” the upcoming World Cup has forced Africa’s leaders to consider the immense opportunities which come with such an international event. Whatever happens 2010 will be a defining moment for the continent.

Top 100 global thinkers of 2010

Foreign Policy Magazine has named their top 100 global thinkers of 2010. The list, which I’ve outlined below, is a mix of policy makers, advocates, and media professionals among other global influencers. A special congratulations goes out to Rosa Whitaker (#53), Ory Okolloh (#59), and Ethan Zuckerman (#81), all of whom  I’ve had the pleasure of connecting and sharing ideas with. View the full list below, and read the full story on the Foreign Policy website:

Beginning with Warren Buffett and Bill Gates (1), who teamed up to prove that even in tough times great new ideas can emerge, to forecasting economist Nouriel Roubini (12) to political leaders Barack Obama (3) and Angela Merkel (10), FP presents more than just their big ideas. Once again we took a unique survey of this very smart crowd. Nearly two-thirds participated to give you insight into their thinking on everything from how Obama’s doing to their preference in new-age reading device (iPad, by a lot). But don’t take our word for it — take the same questionnaire we sent to our FP 100 and see how your answers match up against theirs. – Foreign Policy Mag.

Climate change threatens Ghana’s economic future

Akosombo Dam by ckoukkosSpeaking to people living in Ghana recently, I had become worried by the ongoing power problems. While power outages are nothing new to many of us in developing countries, I have started getting worried about the effects of Ghana’s ongoing power issues on the country’s looming economic growth spurt. While power shortages are an inconvenience to the regular Ghanaian, for Ghana’s growing entrepreneur class the shortages are a critical issue. The Wall Street Journal’s Michael Phillips writes

Just as its economy is picking up steam, Ghana is finding its growth stunted by a force beyond its control: climate change.

Rainfall in the West African country has declined so sharply in recent years that the water level behind the 41-year-old Akosombo Dam, long the country’s main power source, is now at a record low, forcing the government to ration power and companies to invest in costly diesel generators. Economists estimate the water-and-power shortage could slash as much as two percentage points off Ghana’s economic growth this year.

The water level at the Akosombo Dam is 41 feet below the dam’s high-water mark, affecting Ghana’s power distribution and subsequently it’s business climate. “Officials say they will bring emergency generators on line and hope a long-dormant plan to add a Chinese-financed dam on the Black Volta River, upstream from Akosombo, will become a reality within a few years.” the WSJ article points out. But while global warming has accelerated it’s unreliability, many Ghanaians I’ve spoken to fault government officials for not moving quickly enough to find alternative sources of electricity to relieve the pressure on the 41-year old Akosombo Dam. With the 2008 Africa Cup of Nations and numerous other economically beneficial events planned in the next year alone, Ghana is at a crossroads and a wrong step can undo 50 years of steady growth.

(photo by ckoukkos)

Do immigrants work harder than native borns?

The Wall street Journal’s Sara Schaefer-Munoz points to a recent Financial Times column on immigration which mentions a private wealth manager who says that foreign-born recruits to his company are more motivated than his own children. This raises another point to the notion of illegal immigration raised by fashion designer Antonio Miro’s recent runway show. The columnist talks about how immigrants do their best to assimilate into their adopted country and work diligently to make a life for their children, all while maintaining their cultural identity. I’ve copied and pasted the article below for convenience. A very good read.

The new model Americans
By Chrystia Freeland, January 20 2007
When I was 10 years old, a group of actors came to our school and posed as would-be immigrants. We children were given the role of immigration officers, with a quota of immigrants we could admit and a list of desirable characteristics in new Canadians. We had to decide who could come to our country – and who couldn’t.

The idea, I guess, was to teach us to identify with would-be immigrants. It worked. Indeed, the actors’ stories were so moving that we children were spurred to political protest. Immigration quotas were wrong, we declared, and we intended to admit the entire group.

In the decade and a half I spent working in a Europe struggling with the basic concept of integrating people from somewhere else, I liked to think of my childhood indoctrination as a symbol of North America’s different attitude to huddled masses, yearning to be free. Now that I’m back, I realise it is not quite so clear-cut. I am reminded of the New World’s own ambivalence whenever I cross the US border, as I did last Saturday at Newark Airport, where I was fingerprinted, photographed, questioned and, at last, reluctantly admitted, by an official who seemed anything but immigrant-friendly.

The same is probably true of the marketing managers at Toys R Us, whose classic new year promotion got fouled up by the country’s confused attitudes towards new Americans. Yuki Lin, born in New York at the stroke of midnight, was initially declared the winner of the $25,000 savings bond the toy chain promised to the US’s first child of the year. You might think that Ms Lin, who like six out of 10 New York infants was born to immigrant parents, made a particularly apt victor. But then someone discovered that her mother was not a legal resident. Toys R Us decided that the little girl was disqualified.

A Chinese-language newspaper reported the story on its website and a Chinese-American corporate lawyer took up Yuki Lin’s cause. By January 7 Toys R Us had relented.

The drama ignited the blogosphere. One popular line of argument was captured by a self-described grandmother of five: “Most Americans realise we all were immigrants at one time in our history, some legal, some illegal.” This is the central fact about the New World and one I have been reminded of as I read Mayflower, the new history bestseller. The Mayflower voyagers are quintessential immigrants: “We think of the Pilgrims as resilient adventurers upheld by unwavering religious faith but they were also human beings in the midst of what was, and continues to be, one of the most difficult emotional challenges a person can face: immigration and exile.” Nathaniel Philbrick, the author, says that roughly 10 per cent of today’s Americans can trace their descent to the Mayflower. But, as his account suggests, it is Yuki Lin’s parents with whom those hardy early settlers might actually have more in common.

Indeed, at least in the view of some Americans, the country’s truest citizens are those who have just arrived. One of the Toys R Us bloggers wrote that over the past five years his “red-neck white trash” neighbours had been replaced. ” . . . 14 houses on my street, not a one of them occupied by native-born Americans”. The result, he said, was that a street that had once been visited by police every day had become peaceful.

“Rowdyruffian’s” anecdotal account is at odds with popular fears about the connection between immigration and crime. But a study of crime in Chicago between 1995 and 2002 by Harvard’s Robert Sampson found that violence among Mexican-Americans was significantly lower than among both non-Hispanic whites and blacks.

You could call this perception that newcomers behave better than the locals “immigrant envy”, and you can find it in fancier circles, too. At a dinner party I recently attended a Manhattan private wealth manager complained that his children lacked the drive and the work ethic he saw in the young, foreign-born recruits to his bank.

Even as they struggle outwardly to assimilate, some immigrants themselves worry about maintaining their outsiders’ edge. That is the fear of Yelena Petrovna, the Russian immigrant mother in Gary Shteyngart’s novel The Russian Debutante’s Handbook, who excoriates her under-performing son for failing to best the “stupid native born”. I suspect my foreign-born parents have had moments of similar concern. As my two daughters – now two generations beyond the immigrant experience – start school, I start to worry, too.

My PTA has invited me to a lecture on how we are “Crazy Busy – Overstretched, Overbooked”. I was tempted to go. But then I came across this quotation, in Mayflower, from the Pilgrim travellers: “We are well weaned from the delicate milk of our mother country and inured to the difficulties of a strange and hard land.” They sounded a lot like my own immigrant grandparents, who were far Crazy Busier than I am but didn’t spend much time complaining about it. Nor, I am prepared to bet, do Yuki Lin’s parents. I might be one of the “stupid native born” but my new year resolution is to try to act as if I’ve just come off the boat.

Rwandan coffee makes it’s way to Starbucks

Starbucks Blue Ribbon RwandaI received my copy of Business 2.0 magazine last week and was pleasantly surprised to see a number of articles referencing doing business in Africa. But these were not just your basic help the Africans by building water sheds articles. The articles were part of the cover article on the Best business ideas in the world.

One of the articles was about Rwandan entrepreneur Arthur Karuletwa whose company Inzozi Coffee Traders, LLC is tapping into Rwanda’s supply of coffee farms and helping change the image of the war-torn nation. I remember going into Starbucks a while ago (like a true New Yorker I love my coffee) and seeing a promotion on Rwandan coffee. I didn’t pay much attention to the coffee special but I did get a sense of relating Rwanda to coffee. Mr. Karuletwa had partnered with coffee giants Starbucks on their Black Apron Exclusives coffee campaign. According to a Starbucks’ Report the Black Apron Exclusives coffees are a rare honor bestowed upon only the best and most exceptional coffees found in the world, and are produced in limited supply. It turns out coffee is big business in Rwanda, and if you listen to the writer’s suggestions, there is great opportunity for anyone who is willing to bridge the gap between the coffee farmers and the the caffeine starved American public

For further information about where to get into business in Africa check out this excellent video Africa Open for business. Put your money where your mouth is.