To what extent are Swedish companies following the traditional internationalization theories when entering Africa?
Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
Globalization has been a hot topic recently. Many firms experience that their domestic market is too limited for them to conduct their business in. This restriction leads to firms seeking customers on different markets, in different nations, where the companies’ supplies meet the consumers’ demands. Therefore, companies are constantly seeking new places to do business in. Developing economies have been in the scope of many firms recently, with China being in the frontline with its massive labour force and cheap labour costs. However, attention is heading towards the African continent, with its rich natural resources and, like China, large labour force.
The purpose of this dissertation is to see how Swedish firms have tried to establish themselves on the emerging African market. In order to achieve this, an abductive research approach has been selected. Qualitative interviews with important people in four Swedish companies have been conducted.
The empirical findings suggest that Swedish firms have great opportunities to enter the African market and continue to develop there. Furthermore, there is no method of expansion that is better than another. It all comes down to what specific assets that characterize the company in question. Whether it is a service-oriented company, a manufacturing company or an exporting company will perhaps decide what entry mode would be most suitable.
To our knowledge, there is no dissertation that deals with this topic. Consequently, this paper will highlight this research area.
Place, publisher, year, edition, pages
2012. , 76 p.
FDI, Africa, Internationalization, Swedish companies
IdentifiersURN: urn:nbn:se:hkr:diva-9742OAI: oai:DiVA.org:hkr-9742DiVA: diva2:556822
Degree of Bachelor of Science in Business and Economics
UppsokSocial and Behavioural Science, Law