Feed the lion : FMCG opportunities and challenges in Africa

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      <subfield code="a">The African continent is seeing rapid economic growth, coupled with a substantial increase in middle-class population and disposable income levels. Slowdown in growth in the BRICS economies (GDP growth (constant 2005 US$1): China 7.7%, Brazil 2.5%, India 5%, Russia 1.3% and South Africa 1.9% in 2013) has forced global companies to seek greener pastures elsewhere. They are eyeing the African market for future growth and investing accordingly, especially in the fast-moving consumer goods (FMCG) segment. However, the business environment in several African countries presents challenges to FMCG companies, in the form of cultural and functional disparities and different preferences of African consumers compared to their more developed counterparts. In this paper, the authors have conducted a two-tiered screening process of African countries, based on 1) GDP growth and middle-class penetration and 2) market potential and market risks to identify emerging African countries</subfield>
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