The Comparative Evaluation:Kenya and Liberiapet markets and manufacturing investmentanalysis report Rui (Ray) Xue 07/26/2012
The Overview of the ReportKenya would be the best choice to pet markets and manufacturing.The Basic Factors (Religion, Language, Infrastructure )Economy (GDP, Income, Inflation, Exchange Rate)Business Conditions(Labor, Policy, Pet Markets) Kenya Liberia (Pictures From: CIA Factbook)
THE BASIC FACTORSLanguage: English is official language in both of Kenya and Liberia (Kenya, 2012；Liberia, 2012).Religion: The largest majority religion of Kenyans and Liberia are Christian(Kenya, 2012；Liberia, 2012).Water System: Over half of Kenyans need to get water from surface water (Briceno-Garmendia&Shkaratan , 2011, p.12). Liberias water supply systems were completely demolished during 14 years of civil war, (Foster&Pushak, 2012).Electricity Supply: About 25% of population can use electricity in Kenya (The World Bank Group, 2012). Liberias power generating capacity and national grid were completely demolished during the civil war(Foster & Pushak, 2011, p1).
THE BASIC FACTORSTransportation: There are 11,197 kilometers roads are paved, more than 194 airports and airfields, 15 of which have paved runways in Kenya(Kenya, 2012). Liberia has a very serious problem in transportation system, which is no ports get the ISPS certification in Liberia since the big port security problem (Foster & Pushak, 2011, p.12). (From filecluster)
ECONOMYGDP: The GDP (PPP) of Kenya is about $72.34 billion in 2011, the GDP of Kenya is ranked 83th in country comparison to the world (Kenya, 2012). To Liberia, the GDP(PPP) is $1.792 billion in 2011 (Liberia, 2012).Income: The GDP per capita (PPP) of Kenya was $1,800 in 2011 ( Kenya.2012). The GDP per capita (PPP) of Liberia was $500 in 2011, more than 80% of the population lives below the poverty line (Liberia, 2012).
ECONOMYAccording to the below chart, the overall trend of the GPD per capita (PPP) of Kenya increases. (From the World Bank)
ECONOMYInflation: The inflation rate of Kenya was about 4% in 2010, and 11% in 2011 (Kenya, 2012). The inflation rate of Liberia was about 7.3% in 2010, and 10% in 2011 (Liberia, 2012).Exchange Rate: With the Kenya`s economic system will be more and more perfect led to a more stable exchange rate than Liberia`s. (ihmsisters.org)
BUSINESS CONDITIONSLabor: The number of Kenyan labor force was about 18.39 million workers in 2011, the official unemployment rates of Kenya were 40% in 2001 and 2008 (Kenya, 2012). In Liberia, The number of Liberia`s labor force was about 1.372 million workers in 2007(LIberia, 2012).Foreign Investment Policy: In Kenya, FIP is good, foreign investors have been guaranteed ownership and the right to remit dividends, royalties, and capital, although there are some restrictions, but between 60 and 70 percent of industry is still owned from abroad(Library of Congress, 2007, p.14). (hunton.com)
BUSINESS CONDITIONSPet Market: Kenya has a small but growing pet food market. Kenyas pet food imports grew at an annual average rate of 27 percent in the last five years since the increased pet ownership and demand for quality food(USDA, 2011). (USDA, 2011)
CONCLUSIONKenya would be the best choice to pet markets and manufacturing.the better infrastructurethe huge economic potentialthe good business policiesthe increasing pets and pet`s supplies demandKenya would maximize profits for our company. (free-press-release.com)
References• Briceño-Garmendia ,C. M. & Shkaratan, M. (2011, March). Kenyas infrastructure: A continental perspective. Retrieved from https://openknowledge.worldbank.org/bitstream/handle/10986/3361/WPS5596.pdf?sequence=1• Foster, V. & Pushak, N. (2011, March). Liberia’s infrastructure: A continental perspective. *pdf+. Retrieved from http://elibrary.worldbank.org/docserver/download/5597.pdf?expires=1343415280&id=id&accname=guest&checksum=DEF A485D82C5B4113766F5CE74319BD0• Kenya. (2012). In CIA World Factbook. Retrieved from https://www.cia.gov/library/publications/the-world- factbook/geos/ke.html• Liberia. (2012). In CIA World Factbook. Retrieved from https://www.cia.gov/library/publications/the-world- factbook/geos/li.html• Library of Congress - Federal Research Division. (2007, June). Country profile: Kenya. [pdf]. Retrieved from http://lcweb2.loc.gov/frd/cs/profiles/Kenya.pdf• USDA Foreign Agricultural Service. (2011, August 8). Kenyan pet food market. [GAIN Report]. Retrieved from Globaltrade.net http://www.globaltrade.net/f/market-research/pdf/Kenya/Processing-of-Food-and-Agricultural-Products-Pet-Food-Market.html• World Bank Group. (2012, April 10). Kenyas power shortage problem meets innovative finance. Frontier Market Intelligence - TradeInvest Kenya. Retrieved from http://www.tradeinvestkenya.com/feature_articles/1225845.htm