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Digital Enterprises in Africa

Explore the emergence of digital enterprises in Africa, their impact on the economy, and potential research areas for growth. Discover key business models, competitions, policies, and emerging trends in Africa's digital landscape.

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Digital Enterprises in Africa

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  1. Digital Enterprises in Africa Prof. Richard Boateng Joseph Budu Alfred Sekyere-Mbrokoh Eric Ansong

  2. Presentation Outline • Introduction • Africa’s Digital Landscape • Review of Available Literature • Possible Future Research Areas

  3. Introduction Digital technologies are creating new enterprise forms in a digital economy.

  4. Introduction Digital economy = 3% - 4% of GDP for countries in ‘Global South” (Cory, 2016)

  5. Introduction 7% of Mali’s GDP consists of the digital industry (da Silva, 2014)

  6. Introduction Only 27% of Africa’s labour force is in digital economy (Fine et al., 2012)

  7. Main Question What is happening with / around Africa’s digital enterprises?

  8. Africa’s Digital Landscape KINGS of Africa’s Digital Economy • Kenya • IvoryCoast • Nigeria • Ghana • SouthAfrica (Osiakwan, 2016)

  9. Africa’s Digital Enterprises – Literature • AIS Library • EBSCO Host • Science Direct • JSTOR • Emerald Insight • AJIS Online • ITID

  10. Africa’s Digital Enterprises – Literature • Digital enterprises + Africa • Digital firms + Africa • Digital businesses + Africa • Online businesses + Africa • Electronic business + Africa • e-business + Africa

  11. Africa’s Digital Enterprises – Literature

  12. Africa’s Digital Enterprises – Literature Just 8 [relevant] academic papers

  13. Africa’s Digital Enterprises – Literature We augmented practitioner and industry literature e.g. reports, web articlesand statistics

  14. Africa’s Digital Enterprises – Themes • Business Models • Competitions + Awards • Policies + Environment • Dominant Applications

  15. Africa’s Digital Enterprises – Biz Models • Digital services • marketing • web design • Online job recruitment • training • advertisement

  16. Africa’s Digital Enterprises – Biz Models • Digital services (cntd) • Cloud computing • Web hosting • Online car auctioning • Product shipment

  17. Africa’s Digital Enterprises – Biz Models • Digital development • Mobile services • Mobile apps • E-payment

  18. Africa’s Digital Enterprises – Biz Models • Entertainment • Online radio / TV • Games • Information-based • Blogging and news

  19. Africa’s Digital Enterprises – Products • Information • Transactions • Entertainment • Convenience

  20. Africa’s Digital Enterprises – Awards • Malawi: Jobonology Mobile App challenge • Kenya: Kipokezi Apps Challenge • Tanzania: Digital Changemakers • South Africa: MTN Business App of the Year

  21. Africa’s Digital Enterprises – Policies • All the ‘KINGS’ have some policy to encourage digital enterprise. • They also have an implementing agency.

  22. Africa’s Digital Enterprises – Policies Some of the policies are NOT good. • High costs of licensing • Taxes on imports [phone and accessories] • Random Internet blackouts

  23. Africa’s Digital Enterprises – Theory (Arguably) no theoretical approach used

  24. Africa’s Digital Enterprises – New Areas New research areas come to mind

  25. Africa’s Digital Enterprises – New Areas • Contributions to development • Business Model innovation • Project management practices • Industry-government collaboration • Strategy

  26. Africa’s Digital Enterprises – New Areas Case studies of specific business models.

  27. Africa’s Digital Enterprises – Conclusion …that we would have more understanding…

  28. Key References • Abba-Goni, B., & Bidan, M. (2016). Mobile phone continent: how the African digital economy is weaving its web in 2G. Retrieved April 12, 2017, from https://theconversation.com/mobile-phone-continent-how-the-african-digital-economy-is-weaving-its-web-in-2g-68707 • Abdella, A. (2016). 5 things Africa’s leaders can do to drive digital growth. Retrieved April 12, 2017, from https://www.weforum.org/agenda/2016/05/5-ways-africa-leaders-can-drive-digital-growth/ • Africa.com. (2017). Useful Mobile Apps in Africa. Retrieved from https://www.africa.com/most-popular-mobile-apps-in-africa/ • Africabranding. (2015). Africa’s Digital Economy. Retrieved April 12, 2017, from http://africabranding.com/2015/03/04/africas-digital-economy/ • African Business Review. (2013). Top 10 African Social Networks. Retrieved from http://www.africanbusinessreview.co.za/top10/1551/Top-10-African-Social-Networks • Atabong, A. B. (2017). Cameroon sabotages own digital economy plan with internet shutdown. Retrieved April 12, 2017, from http://africanarguments.org/2017/03/10/cameroon-sabotages-own-digital-economy-plan-with-internet-shutdown/ • Birkelo, P. (2015). Africa Mobile App Challenge. Retrieved from http://www.gearbox.co.ke/blog/2015/07/africa-mobile-app-challenge • Bonorchis, R. (2016). Africa’s Biggest Bank Plans Job Cuts as Customers Go Digital. Retrieved April 12, 2017, from https://www.bloomberg.com/news/articles/2016-03-14/firstrand-s-fnb-plans-to-cut-jobs-as-south-africa-economy-slows • BrandSouthAfrica. (2016). South Africa’s digital economy a top global mover in Networked Readiness Index. Retrieved April 12, 2017, from https://www.brandsouthafrica.com/investments-immigration/south-africa-digital-readiness-index • CMU. (2016). Fueling the Digital Economy in Africa. Retrieved April 12, 2016, from https://www.cmu.edu/news/stories/archives/2016/july/digital-economy-africa.html • Cory, N. (2016). Is Nigeria undermining its Digital Economy with bad policy decisions? Retrieved from http://www.itnewsafrica.com/2016/04/is-nigeria-undermining-its-digital-economy-with-bad-policy-decisions/ • da Silva, I. S. (2014). Mali Digital Plan 2020 to reorganise economy. Retrieved April 12, 2017, from http://www.biztechafrica.com/article/mali-digital-plan-2020-reorganise-economy/9327/ • Dahir, A. L. (2016). Smartphone use has doubled in Africa in two years. Retrieved April 12, 2017, from https://qz.com/748354/smartphone-use-has-more-than-doubled-in-africa-in-two-years/ • Diptesh, S. (2017). Making the digital economy more inclusive. Retrieved April 12, 2017, from http://africanbusinessmagazine.com/sectors/technology/making-digital-economy-inclusive/

  29. Key References • Fawcett, K. (2015). Africa’s Digital Banking Boom – Clients Are Winning. Retrieved April 12, 2017, from http://www.smsgh.com/digital-banking-boom-africa-clients-winning/ • Fine, D., van Wamelen, A., Lund, S., Cabral, A., Taoufiki, M., Dörr, N., … Cook, P. (2012). Africa at work: Job creation and inclusive growth. Retrieved May 9, 2017, from http://www.mckinsey.com/~/media/McKinsey/Global Themes/Middle East and Africa/Africa at work/b test/MGI_Africa_at_work_August_2012_Full_Report.ashx • Gondwe, G. (2015). MHub launches Jobonology Mobile App competition. Retrieved from http://www.biztechafrica.com/article/mhub-launches-jobonology-mobile-app-competition/10054/ • GSMA. (2015). The Mobile Economy- Sub-Saharan Africa. Retrieved from http://www.gsma.com/mobileeconomy/archive/GSMA_ME_SubSaharanAfrica_2015.pdf • Handjiski, B. (2015). Mobile connectivity in Africa has already arrived. Retrieved April 12, 2017, from https://www.brookings.edu/blog/future-development/2015/03/18/mobile-connectivity-in-africa-has-already-arrived/ • Heim, A. (2012). New app competition encourages technology entrepreneurs in Kenya. Retrieved from https://thenextweb.com/africa/2012/03/05/new-app-competition-encourages-technology-entrepreneurs-in-kenya/#.tnw_WP3M6TMe • Jackson, T. (2015). 5 startups chosen for Mobile West Africa app developer competition. Retrieved from http://disrupt-africa.com/2015/04/5-startups-chosen-for-mobile-west-africa-app-developer-competition/ • Lamb, J. (2016). The Impact of Digital Infrastructure in Africa. Retrieved from http://www.microbyte.co.uk/news/impact-digital-infrastructure-africa/ • Linington, D. (2015). Top mobile apps made in Africa. Retrieved from http://www.itnewsafrica.com/2015/07/top-mobile-apps-made-in-africa/ • Malakata, M. (2015). Catching up to other African nations, Zambia plans mobile infrastructure initiative. Retrieved April 12, 2017, from http://www.pcworld.com/article/2909012/catching-up-to-other-african-nations-zambia-plans-mobile-infrastructure-initiative.html • Matinde, V. (2016). Nigeria’s digital economy can nurture Africa’s tech industry. Retrieved April 12, 2017, from http://www.idgconnect.com/abstract/17581/nigeria-digital-economy-nurture-africa-tech-industry • Mcilhone, M. (2015). Huawei plans to promote Africa’s digital economy by building a better connected Africa. Retrieved April 12, 2017, from http://africanbrains.net/2015/12/09/32894/ • MTN. (2016). App of the year. Retrieved from http://www.appoftheyear.co.za/ • Mulligan, G. (2016). Apply now for Tigo’s Digital Changemakers’ competition. Retrieved from http://disrupt-africa.com/2016/10/apply-now-for-tigos-digital-changemakers-competition/

  30. Q & A @Joseph Budu jbudu@st.ug.edu.gh

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