Chinese investment in African countries

African countries have continued to attract substantial amounts of foreign investments, thus becoming an attractive proposition, particularly at this stage of economic development, many sectors in developed markets and other large emerging economies (such as China) become saturated. Yet, the mystery of how to do business in African countries and the risk of market failure across the continent remains, caused by various uncertainties associated with political instability, poor infrastructure, cross cultural challenges, external global shocks, and so forth. Foreign firms face challenges of understanding the institutional environment, including the investment climate, employment issues, and local consumers in Africa. African agencies have also become equally important, because they determine the success of foreign investment (Mohan and Lampert, 2013). Therefore, to gain a good understanding of local knowledge of African countries becomes vital.

Potential research proposals should focus on strategy, management, and marketing issues
in African countries, preferably sub-Saharan African countries, covering inter-related topics including transfer of management practices, firm internationalisation, and marketing strategies. An example of expected research orientation can be obtained by reading Kamoche and Siebers (2015). Your proposals should consider both external environment and consumers, because these have become different for Chinese firms entering an African market. It is significant to make knowledge work, which can lead to a larger degree of success. Chinese firms have gained greater learning experience from multinational enterprises (MNEs) expanding in China. Moreover, these firms more likely understand the local knowledge of an African market better, because they have faced a similar home market environment.

Recent years have seen fast shifts of institutional demands from businesses to local consumers and society in China (see Siebers, 2017). These changes urge Chinese firms to learn local knowledge in African markets at a profound level, combining their learning in the home market and from global experiences to effectively respond to African local markets. Therefore, your key research questions can be chosen from the following: Are there best practices in an African market? How do Chinese firms differentiate themselves in African markets? To what extent are hybrid management practices effective in African markets? What are the strategies of Chinese firms implement in African and are these strategies sustainable? How competitive are Chinese firms compared to developed market firms and other emerging market firms in a particular African market? How do Chinese firms use their learned knowledge and gain new knowledge in Africa? How do local institutions encourage or impede Chinese firms’ expansion in Africa? What are the recent changes of consumers and society in an African market and how do Chinese firms respond to these changes? Considering these questions, theoretical foundations can be drawn from firm internationalisation into emerging markets; transfer of management practices; localisation strategies; cross-cultural issues in emerging markets; consumer and social changes in African markets; retailing and use of social media in African markets; the growth of service sector in African markets; CSR as strategies. Comparison studies across markets (one should be from Africa) are welcome.