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“ Small and Medium Enterprises in Africa” January 2009 Florie THIELIN Julien DE BENEDITTIS Master 1 International Business Particular analysis  through three selected African countries: Algeria, Ethiopia and South Africa.
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Development of the SMEs: Major problems and solutions ,[object Object],[object Object],[object Object],[object Object]
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1.1 Why did we choose these 3 countries ?
[object Object],Ethiopia South Africa Population 33.9 83.1 48.6 Education Health Unemployment 10 years 6 years 9 years Good Infrastructures Retirement Conflicts Corruption Activities Inflation Growth Commercial Balance I.T. Bad Medium 14.10% 16.70% 26.60% Bad Awful Bad With Marocco 3.2 Mainly Oil 2.50% 3% -8.50% Medium Medium Possible None 2.3 5.1 Mainly agriculture Mainly services 12.30% 4.60% 9.61% 13.30% 12.60% 13.80% Bad Excellent Excellent Bad 1.2 Main socio-politico-economical indicators
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],1.3 Legal definition of SME
2. Numerous barriers of the business environment
African SME Low level of EDUCATION Business environment
2.1 Low level of education ,[object Object],[object Object],[object Object]
African SME FINANCE Low level of EDUCATION Limited access to Business environment
2.2 Limited access to finance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
African SME FINANCE ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Business environment
2.3 Unwieldy Administration ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
African SME FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficient Business environment
2.4  Insufficient and deficient Infrastructures ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
African SME FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficitent Small local market for Business environment SUPPLIERS & CUSTOMERS
2.1 Small local market for suppliers and customers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
In South Africa In Algeria In Ethiopia FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficitent Small local market for Business environment SUPPLIERS & CUSTOMERS
3. Main solutions brought by the different actors
GOVERNMENTS African SME
3.1 Governments Algeria Ethiopia South Africa Ministry for SMEs and craft industry Important SME’s development policy since 2001 Chamber of Commerce « in process… » No SME’s development policy Department of Trade and Industry Very important SME’s development policy since 1994
GOVERNMENTS ,[object Object],[object Object],[object Object],[object Object],[object Object],NETWORKS & CLUSTERS African SME
3.2 Networks & Clusters Cluster = « Group of SMEs from one industry sector that team up and act as one body. » Network = « Group of companies which are linked by means of individual connections. »
GOVERNMENTS ,[object Object],[object Object],[object Object],[object Object],[object Object],NETWORKS & CLUSTERS ,[object Object],[object Object],[object Object],[object Object],African SME Financial institutions & Private equity
3.3 Financial institutions and private equity - Banks  - Micro-credit institutions - Guarantee companies - Private equity
GOVERNMENTS ,[object Object],[object Object],[object Object],[object Object],[object Object],NETWORKS & CLUSTERS ,[object Object],[object Object],[object Object],[object Object],Financial institutions & Private equity African SME ,[object Object],[object Object],[object Object]
What is the level of development of african SMEs ? ,[object Object],[object Object],But a threat for the future… the global financial crisis
Perspective : The global financial crisis ,[object Object],[object Object],[object Object],[object Object],Slowing down of the recent SME’s development improvment
Ressources : ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

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SMEs In Africa

  • 1. “ Small and Medium Enterprises in Africa” January 2009 Florie THIELIN Julien DE BENEDITTIS Master 1 International Business Particular analysis through three selected African countries: Algeria, Ethiopia and South Africa.
  • 2.
  • 3.
  • 4.
  • 5. 1.1 Why did we choose these 3 countries ?
  • 6.
  • 7.
  • 8. 2. Numerous barriers of the business environment
  • 9. African SME Low level of EDUCATION Business environment
  • 10.
  • 11. African SME FINANCE Low level of EDUCATION Limited access to Business environment
  • 12.
  • 13. African SME FINANCE ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Business environment
  • 14.
  • 15. African SME FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficient Business environment
  • 16.
  • 17. African SME FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficitent Small local market for Business environment SUPPLIERS & CUSTOMERS
  • 18.
  • 19. In South Africa In Algeria In Ethiopia FINANCE INFRASTRUCTURES ADMINISTRATION Low level of EDUCATION Limited access to Unwieldy Insufficient and deficitent Small local market for Business environment SUPPLIERS & CUSTOMERS
  • 20. 3. Main solutions brought by the different actors
  • 22. 3.1 Governments Algeria Ethiopia South Africa Ministry for SMEs and craft industry Important SME’s development policy since 2001 Chamber of Commerce « in process… » No SME’s development policy Department of Trade and Industry Very important SME’s development policy since 1994
  • 23.
  • 24. 3.2 Networks & Clusters Cluster = « Group of SMEs from one industry sector that team up and act as one body. » Network = « Group of companies which are linked by means of individual connections. »
  • 25.
  • 26. 3.3 Financial institutions and private equity - Banks - Micro-credit institutions - Guarantee companies - Private equity
  • 27.
  • 28.
  • 29.
  • 30.