Africa is seen as the last investment frontier and according to literature will have a GDP of $1.5 trillion by the year 2016 and a population that is double the size of Europe. The rapid expansion of infrastructure and construction in African countries, such as Mozambique and Zambia has increased the demand for commercial vehicles. This has sparked unparalleled marketing opportunities for automotive manufacturers and the continent is fast attracting major players in this sector. The international marketing literature still lacks detailed studies and research into the marketing deliberations and trades in Africa. Therefore, according literature a greater representation of African culture within the international marketing literature would provide relevance and richness in the global market place and offer greater insight to organisations who are seeking to invest and expand their businesses in Africa. The management issue here is to comprehend the diversity and vastness of this region and putting together all spheres to ensure growth and creating brand loyalty. The key challenge here is for management to be able to grasp and understand not only the various cultures but also the way of doing business in such a vastly different region. It is therefore imperative for Ford Motor Company to fully understand these factors so as to take full advantage associated with entering a market early which is commonly referred as first-mover-advantage. A case in point is when General Motors entered the Chinese automotive industry in 1997 when the Chinese market was relatively small. General Motors’ enthusiasm and commitment back in 1997 was driven by a belief that China would ultimately become an economic powerhouse and emerge as one of the world’s largest automotive markets. By the year 2010 China was one of the world’s biggest automotive markets and General Motors was a dominant force in this market. Africa has all the key elements for the growth and development of a robust automotive market. By studying past experiences and outcomes from empirical studies on international marketing with emphasis on the automotive industry, it will be possible to draw lessons and experience about the potential growth of the automotive sector on the African continent. This study will also be of great significance to other automotive manufacturers and suppliers looking to expand their business and market share across Africa due to the increase of the middle class. Therefore creative strategies and thinking of how to circumvent challenges in the African cultural environment, creativity in managing bureaucracy and due diligence about business and investment opportunities will uncover unprecedented volumes of profitable business that lies untapped on the African continent. Data from the quantitative study suggest that culture, political environment, country-of-origin, competition and country infrastructure in Nigeria, are essential factors to the development of a successful international marketing strategy for Ford South Africa. This study therefore concludes that Ford Motor Company of South Africa can utilize this framework in order to gain greater market share and ultimately success in Nigeria. Recommendations were also made for future research studies that can contribute to the international marketing literature with emphasis on the African market.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:20471 |
| Date | January 2016 |
| Creators | Adams, Pedro Duan |
| Publisher | Nelson Mandela Metropolitan University, Faculty of Business and Economic Sciences |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Masters, MBA |
| Format | xii, 102 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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