Business
Digital Trade from page 13 pandemic. These goods include soaps and other germ-killing products. The heads of state have agreed that these products must be given priority transit across borders, particularly in the case of landlocked countries. And second, the ministers of trade are exploring the possibility of reducing customs duties on these essential products so that they are more affordable to African populations across the continent. This would be a temporary measure to ensure that we have access to the tools we need to protect public health. In terms of the long-term tools, it is our view that accelerating Africa’s industrial development objectives and Africa’s industrial development action plans is key to reconfiguring our supply chains, establishing regional value chains, and manufacturing the essential goods that we need now. This would also boost Africa to a higher value-added product and manufacturing capacity. The second point is a review of our intellectual property rights. We aim to assess whether our intellectual property regimes enable Africa to have a generic drug industry, which would ensure that we have access to affordable health care. This is also linked to whether a vaccine is found in the next 18 months or so. It goes through to the heart of questions around intellectual property rights. Finally, we are looking at the AfCFTA agreement itself (https://au.int/en/ cfta). As you know, many countries in Africa do not have the monetary policy space or the fiscal policy space to provide large bailouts that go in the trillions and trillions of dollars for economic recovery. Therefore, for Africa, the stimulus package is the AfCFTA, the implementation of this agreement. This is what will enable Africa to drive economic growth and economic development post COVID-19, by increasing intra-Africa trade. www.un.org/africarenewal/magazine/july-2020/digitaltrade-next-big-thing-africa Image credits: mastersofmedia.hum.uva.nl, World Economi Forum
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September-October 2020
4 Expert Tips to Internationalize* Your New Business By Bryan Janeczko INTERNATIONALIZATION IS AN AMBITIOUS but attainable step in any startup’s lifecycle. Once considered to be at the tail-end of a business journey, companies nowadays have the luxury of being able to internationalize relatively soon after they launch. The internet has been the biggest accelerator of startups establishing an overseas* presence faster, while the recent COVID-19 crisis has proven that there is even greater scope for small ventures to successfully branch into new markets. According to a survey from Wells Fargo (www. wellsfargo.com), 87% of US companies are optimistic about expanding internationally for long-term growth. However, having the tools to expand, and knowing how to do it properly—without falling into legal trouble, failing to understand consumer culture or ignoring technological differences—are two separate things. If you rush into foreign waters unprepared and insensitively, you could jeopardize your existing success and reputation. Here's how to internationalize your startup, with insights from founders who have done just that: 1. Size up your home market. First things first: Assess when to enact your internationalization strategy. Conventional wisdom says you need to dominate your home market before you consider establishing a presence elsewhere. Previously, most investors considering funding your international expansion would first ask you to prove that your company was successful in its current location. If you couldn't, you'd struggle to get the funds. Nowadays, there is no longer a standard linear format to internationalizing. There are a number of startup hotspot countries and cities that make it easier to take a leap without necessarily dominating your domestic market beforehand. Oswaldo Trava, Founder of InstaFit (https:// instafit.com), notes that a key step is to "identify the DAWN
www.africabusinessassociation.org
