10 Records out of 22207 Records

Challenges faced by Nation Media Group in entering East African Common Market

Author: Cherotich, Josephine

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Nation Media Group ; East African Common Market ; Common markets ; Management ;

Abstract:

This study investigated the challenges faced by Nation Media Group in entering East Africa Common Market. The objective of the study was to determine how the NMG enters into the common East Africa market and also establish the difficulties faced by new entrants on the market. To achieve the objective, a content analysis of major documents at the NMG concerning FDI and expansion was conducted. Interviews from key staff at NMG that are centrally placed in expansion strategy processes were carried out to get an in-depth view of the challenges that NMG and new entrants face. The study will have useful insight to the corporate world in Kenya and may have generated new information that can be used for expansion strategy. The research also advanced the work of previous scholars and academicians. Based on the research findings the study concluded that indeed challenges exist facing expansion strategists. The study anticipated and encountered limitations in terms of literature material, funds and lack of cooperation from respondents but this was dealt with through extra reading, team discussions and input from colleagues at NMG to make a final report a success. From the policy perspective the study implied that the NMG should approach the government whenever the expansion strategic plan is put in place for implementation so that the country diplomatic ties are used as a pathway to ease expansion. The study also recommended that, the government should in practice try to involve the private sector in formulating strategic plans in which both parties could present shortcomings and challenges faced in implementing the strategic plans in particular the expansion into regional markets.

Entry strategies adopted by Kenya Commercial Bank Limited in East African Community Market

Author: Kungu, Michael Wanjiku

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: International trade/Market entry/Market penetration/Kenya Commercial Bank/East African Community/East African Common Market/Common markets ;

Abstract:

Kenya commercial banks have shown their desire to have international presence and Kenya Commercial Bank is a classic example. Despite the concerted efforts by Kenyan firms to explore foreign markets, there seem to be little or no attention at all in literature concerning Kenyan firms seeking to expand in foreign markets. This study sought to identify the entry strategies adopted by Kenya Commercial Bank in the East African market. It used a case study research design to achieve this objective. Qualitative data was collected through interviews with 7 senior management staffs at KCB Group. The study revealed that KCB adopted Green field entry strategy where it starts operations in 100% KCB owned subsidiaries except where local laws do not allow such as in South Sudan. KCB choices were informed by available opportunities identified through market analysis. Entry strategies adopted by KCB have been successful safe for Tanzania which has been a struggle, while Sudan has been immensely successful. Timing of entry matters to KCB. The early mover advantage in South Sudan, for instance, has been beneficial to KCB. This study concluded that, although Green field strategy is expensive, KCB adopted it because it has a good financial base. In foreign expansion, firms should not be quick to duplicate their domestic marketing strategies but should be-keen on customizing their strategies to resonate with the foreign markets' unique characteristics. This study recommends that firms seeking to expand in the East African region should assess various modes of entry and settle on the most appropriate based on internal organizational factors such as their capabilities as well as external factors such as business environment, economy, social and political aspects.

The effects of East African common market on cross border business for Kenya Association of Manufacturers' members

Author: Ndege, Joel Gichangi

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Effects ; East African Common Market ; Common markets ; Kenya Association of Manufacturers ; Manufacturers ; Business conditions ;

Abstract:

In today's business environment, it is more evident that if companies want to grow they need to think outside the current borders because the competitive advantages in producing products and services are constantly shifting between capital intensive countries and labor intensive countries. The objective of the study was to determine the effects of East African Common Market on cross border business for Kenya Association of Manufacturers' members. The study adopted a descriptive research design. The target population comprised of sampled 41 members of KAM involve in cross border trade. Primary data was collected using a questionnaire while secondary data was obtained from annual reports of the EAC and other publications. This study employed descriptive statistics to analyze the data obtained using Statistic Packaging for Social Science (SPSS).The data was classified, tabulated and summarized using descriptive measures, percentages and frequency distribution tables. The study found that majority of the firms contacted conducted formal cross border trade. The cross border trade promoted economic development of Kenya by increasing the employment level in the country as the production levels increased. The study recommends that the Government and policy makers should use this study to develop policies and guidelines that promote Kenya's position on the EAC market. KAM members should use the findings in bringing out the major contributions of the EAC to their current performance and in their decisions to expand their market beyond Kenya and EAC.

Factors influencing regional trade within the East African Community common market

Author: Munyao, Joseph Mbithi

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: International markets ; Common markets ; East African Community ; East African Common Market ;

Abstract:

The objective of this study was to find out the factors that influence regional trade within the East African Community common market. The population of interest consisted of the respective ministries responsible for the EAC affairs in all the member states of the east African common market. At the time of research there were only five member states which had ratified the EAC protocol, although Sudan, South Sudan and Somalia had applied to the secretariat for consideration as members of EAC. Results of the study show that the major benefits accruing to the member states from the EACCM include wider choice of goods and services afforded to the consumers, larger production base, expanded market size for producers and greater competitiveness and quality of products. The major factors influencing regional trade were identified as: industrial concentration within the member states, supply-side constraints and competition, multiple memberships, different tax regimes and non-tariff barriers. The industry concentration was found to be a little skewed with most members indicating that Kenya had higher concentration of industries with limited specialization by member states to produce what they have comparative advantage on. The main supply-side constraint identified was poor infrastructure which posed challenges by way of transportation, telecommunication and delays. However, it was also noted that the infrastructure problem only posed a challenge to a moderate extent to the regional trade. It was clearly established that regional trade within EAC does not receive a boost from multiple memberships and that EAC member states have delayed in harmonizing their tax regimes and this affect regional trade in EAC moderately. Regarding non-tariff barriers, it was found that NTBS still exist in the EAC common market to some extent. It was also found that there are mechanisms to deal with errant member states that enforce NTBS but that these mechanisms were only moderately effective. In conclusion the benefits of regional integration within the EACCM are more than the constraints experienced and it was suggested that the leveled of integration should be fast tracked to a federation.

Factors that influence implementation of East African common market within Kenya

Author: Bolo, Daniel Ochieng

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2011

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Common markets ; East African Common Market ; Trade policy ;

Abstract:

As international trade and investment levels continue to nse, the level of economic integration between various groups of nations is also deepening. There has been a worldwide wave of regional integration agreements. Most of these regional integration agreements were set up in Africa but they ended up dormant or failed. The importance of trade within the common market is paramount because it is the first step towards economic and political integration. Trading blocs have become quite ubiquitous, with approximately 200 of them presently operating in the world trading system. However, many of these trading blocs are not successful in their goal of improving the economic development of their respective regions. Indeed, in the last three decades many trading blocs have failed and have been dismantled. World over trading blocs has facilitated business and economic cum political integration. As international trade and investment levels continue to rise, the level of economic integration between various groups of nations is also deepening. The most obvious example of this is the European Union, which has evolved from a collection of autarkical nations to become a fully integrated economic unit. Although it is rare that relationships between countries follow so precise a pattern, formal economic integration takes place in stages, beginning with the lowering and removal of barriers to trade and culminating in the creation of an economic union. The defunct EAC collapsed as a result of mistrust of member countries and also due to non involvement of the private sector dealing a severe blow to all the potential benefits likely to be accrued. The study sought to find the factors that influence implementation of East Africa Common Market within Kenya. In attempting to achieve the results, a case study research design was adopted. Towards this end, the study collected primary data from the ministry of East Africa Community using an interview guide. The study established that lack of complementarities in trade flows, overlapping membership, resolution implementation, pressure from regional corporations as an impetus for political change, the potential for greater economic gain for members than can be achieved through unilateral trade, Political dimension of the integration, importance of commitment institutions, political will, importance of regional leader and infrastructure influence the implementation of East Africa Community Common Market. The political will is a key ingredient for the long-term stability of a regional trading bloc and the EAC member states have confirmed that as 100% of the respondents were of the opinion that the member states have the political will as the leaders are fully committed to the success of the protocol. The results of the common market cannot be predicted with any certainty. The immediate uncertainty centers on the willingness of country leaders to support free movement of labour in practice. If unscrupulous politicians stir up trouble around it, governments may not be able to avoid responding with protectionist measures.

Regional integration and cooperation in East Africa, 1895-2000 : a theoretical analysis

Author: Ngugi, ZipporahMumbi

Awarding University: United States International University-Africa, Kenya

Level : Master of Internatio

Year: 2007

Holding Libraries: ;

Subject Terms: International markets ; Common markets ; East African Community ; East African Common Market ; East Africa ; Economic history ;

Abstract:

ABSTRACT NOT AVAILABLE

Industrial and trade imbalances in East African common market : dynamics and corrective mechanisms, 1962-1977

Author: Kanimba, James Gad

Awarding University: University of Glasgow, Scotland

Level : PhD

Year: 1987

Holding Libraries: Institute of Commonwealth Studies Library ;

Subject Terms: Common markets/East African Common Market/Balance of trade/ ;

Abstract:

ABSTRACT NOT AVAILABLE

Industrial co-operation in the East African Common Market.

Author: Namatovu, Germina

Awarding University: DEnglande University, USA

Level : PhD

Year: 1980

Holding Libraries: Kenyatta University Moi Library ; University Microfilms International ;

Subject Terms: East African Common Market ; Common markets ; Industrial development ; East African Industrial Council ; Market research ;

Abstract:

This paper examines the proposition that small under-developed countries can accelerate economic growth and structural change by enlarging their domestic markets through forming integration schemes in which they inject dynamic industries or leading sectors. Empirical material was gathered on the East African Common Market, consisting of Kenya, Tanzania and Uganda, which has been in existence 1948-1971. The material was in two parts. The first part contained institutional material on the East African Industrial Council and its experience in regulating dynamic industries to encourage balanced industrial development on an East African basis. The second part consisted of time-series data on the cement and textile industries. An implicit assumption behind the above proposition is that purely competitive behavior will prevail in the dynamic industries once domesticated in the integration schemes. Either the larger market will encourage this behavior autonomously or a regional corporation will regulate the industries to ensure performance that is consistent with pure competition. This paper took a different view. It was assumed instead that the domestication of dynamic industries is accompanied by imperfectly competitive behavior in the form of monopoly and oligopoly market power. This assumption rested on the consideration that the industries, because of their expected contribution to growth and their relatively large size, can turn the incentives used to domesticate them into privileges. Economic theory predicts that privilege leads to market power for excess profits maximization rather than the promotion of efficiency, growth and structural change. Regulation by inexperienced regional corporations is unlikely to sufficiently eliminate market power. The market power assumption was consistent with both the institutional experience of the East African Industrial Council and the empirical results from the cement and textile industries. The firms operating the two dynamic industries used their privileged positions to consolidate market power. The cement firms used their position to build an inter-territorial oligopoly. Calico Printers used the very incentives to domesticate textiles to consolidate her monopoly power. The imperfectly competitive firms whether public or privately owned, earned excess profits instead of promoting efficiency, growth and structural change. For example, in the cement oligopoly, the Kenyan firms, Bamburi and Athi River, maximized private profits while Tororo and Wazp-Hill collected the excess profits for the development corporation and National Development corporations under which they operated: the Uganda Development Corporation and National Development Corporation, respectively. The maximization of excess profits imposed considerable excess costs on the economies in the form of production and consumption costs, for example. These excess costs also stunted the emergence of dynamic benefits from industrialization and structural change, like a decrease in the supply price of output from economies of scale and forward linkage. As market size expanded the entry of more producers did not eliminate market power nor promote competition and cost consciousness that would have produced performance results close to pure competition. Instead, as more producers entered, market power changed from pure monopoly to oligopoly. In cement the inter-territorial oligopoly did not change with the entry of more firms, and in textiles the entry of more producers changed market structure from pure monopoly to oligopoly. The static excess costs associated with market power and the negative effect of these costs on growth and structural change, continued. Public participation in dynamic industries accommodated itself to the managers' objectives of excess profits maximization instead of promoting an efficient allocation of resources. The empirical results do not deny the importance of integration in promoting in

The rationalization of industrial economic planning and development in the East African common market : a game theoretic approach

Author: Kiggundu, Sileiman ibrahi

Awarding University: Boston University, USA

Level : PhD

Year: 1979

Holding Libraries: Kenyatta University Moi Library ;

Subject Terms: East African Common Market/Common markets/Customs unions/Game theory/East Africa ;

Abstract:

The thesis advances a set of normative propositions that are essential for a successful operation of a customs union in developing countries. It establishes theoretically that the commanding heights argument for a customs union in developing countries is to quicken the pace of industrialization as well as lead to a more efficient industrial structure. It also examines the question of 'stability' of customs unions and shows that this hinges on an 'equitable' distribution of the net benefits between the partner states. These benefits comprise mainly of the share in the industrial economic activity of the union. Two normative propositions are made. The first is that union members should industrialize according to intra-union comparative advantage so as to achieve an optimal allocation of resources within the union. A domestic resource cost approach is advanced to handle this question of industrial programming for efficiency in a customs union. The second proposition is that for the sake of? stability', a limited but a rational departure from the optimal solution in the search of equity constitutes a second best approach that must be accepted and indeed recommended. This departure may take any of the following three forms either singly or in unison: (1) The sharing of integration industries. (2) Vertical and horizontal specification agreements. (3) A synchronized development of certain basic industries. To handle this question of industrial programming for equity in a customs union a game theoretic approach is advanced. A game theoretic model is developed and used to solve the allocation of integration industries. Empirical work applying the woo models is done with East African data, with the intention of investigating whether or not the now defunct East African common market operated as the models suggest. The East African Common Market experience is studied in some depth from the time of its founding in 1917 to the time of its collapse in 1977, for the light it throws on customs unions policy in developing countries. The study concludes that common markets have a lot of potential benefits for small developing countries arising from specialization, economies of scale and indivisibilities in demand and supply. The criteria for their success, however, requires tremendous political and economic vision. The empirical work shows that the East African Common Market did not apparently fully exploit the tremendous potential benefits as anticipated from the theory of customs union because: (1) In the pre-independence period, the British Colonial Government was not all that concerned about a vigorous industrialization program. (2) In the post-independence period the partner states failed to agree on industrial rationalization program that could have brought about greater efficiency and equity. With respect to intra-union specialization as well as on the question of integration industries, the partner states are shown not to have followed a rational actor behavior. (3) Again in the post-independence period the partner states largely interfered with free trade in the common market when they instituted the transfer tax system, the state trading corporations and the exchange control systems-all of which operated sub-optimally. Hence the collapse of the East African Common Market is to be regretted more because it had great potential and was very advanced structurally and institutionary than because of its success in achieving the economic goals of a customs union in developing countries as they are spelled out in this thesis.

East African Common Market inequities of the 1960s : an arbitration scheme.

Author: Segal, David

Awarding University: Yale University, USA

Level : PhD

Year: 1969

Holding Libraries: Kenyatta University Moi Library ; University Microfilms International ;

Subject Terms: East African Common Market/Common markets/ ;

Abstract:

This paper offers a hypotherical arbitration scheme for distributing the gains from the East African common market among its members: Kenya, Uganda, and Tanzania. Of the many common market institutions in East Africa, two are examined in detail-- common market trade, and the mechanism for allocating new industry. At the outset the gains from trade are assumed by the hypothetical arbiter to be, alternately, the income and job opportunities owing to trade. Labor surplus economies are assumed, along with low opportunity costs for non-labor factors of production. While a strong political rationale is found to exist for basing a settlement scheme on these measures of gain, the measures are less defensible in terms of traditional economic analysis. In the closing chapter, the assumptions regarding zero opportunity costs productive factors are relaxed, and the conclusions modified accordingly. Gains from new large scale industry are measured both in terms of the industry's foreign investment component and according to typical-year valuation methods. The arbitration scheme is presented as a problem in welfare economics. Utility gains from trade and new industry, deriving from the measures of value above, are assumed to be additive; and utility is assumed to be transferable among countries. The task of the arbiter is to select a defensible welfare function for allocating the gains. The methods of cooperative game theory are used. The period chosen for the analysis here is the 1960's -- a period in which independence was won by each of the countries. The fact of differing and sometimes conflicting economic policies among the East African countries, traceable to separate sovereignties, has put severe strains on regional cooperation. Some policy implications of methods used in the arbitration scheme, to help reduce some of these strains, are suggested at several points in the text.