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Abstract

Subject area

Marketing.

Study level/applicability

This case can be used in an international marketing course or module, at executive or MBA level, and is particularly suitable as a case on global branding.

Case overview

MTN was launched in 1994 as a leading provider of communication services, offering cellular network access and business solutions. After building up a successful operation in South Africa, achieving a market share of some 38 per cent (second only to Vodacom, the dominant mobile telecommunications provider), the group began its expansion into the rest of Africa in 1998. It was the first South African cell phone network operator to do so. The objective of this expansion was, despite the uncertain political and regulatory environment, to take advantage of the market opportunities in Africa, given its underdeveloped telecommunications infrastructure and the transferability of MTN's skills into other African countries. At the time of the case (June 2005), MTN had established itself in eight different African countries, with a subscriber base of 14.3 million in South Africa and 2.9 million in the rest of Africa, with plans for further growth in the territory and elsewhere. As a result of this international expansion, a major challenge was to ensure consistent branding in the different countries.

Expected learning outcomes

The expected learning outcomes are: to explore the challenges of international expansion into new markets; to understand global brand building strategies, how to create a consistent identity and how to build a services brand; to understand the challenges of implementing a marketing change strategy across different countries with different cultures and with employees with different agendas and to highlight the importance of people in providing a service and in delivering the brand promise.

Supplementary materials

Teaching note.

Details

Emerald Emerging Markets Case Studies, vol. 1 no. 1
Type: Case Study
ISSN: 2045-0621

Keywords

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Article
Publication date: 16 December 2019

Luis Brites Pereira and John Manuel Luiz

The purpose of this paper is to examine the evolution of political and economic institutions, their persistence and interdependence and their effects on economic progress…

Abstract

Purpose

The purpose of this paper is to examine the evolution of political and economic institutions, their persistence and interdependence and their effects on economic progress in Mozambique.

Design/methodology/approach

Using a unique data set, which has developed detailed long-run indices of institutional change in Mozambique from 1900 onwards, the research utilizes time-series econometrics to estimate cointegration relations and Vector Autoregressive and Vector Error Correction models, and also Granger causality, correlation and residual analysis when interpreting the estimation results.

Findings

It shows support for path dependence in political and economic institutions as well as the critical juncture theory and modernization hypothesis, and for webs of association between these institutions and economic development. It provides evidence of an equilibrium-dependent process, where history does matter (as do early conditions), and whose impact may differ depending on the nature of institutional arrangements. Various institutions created during colonial times have a bearing on the present state of institutions in Mozambique, as reflected in important continuities regarding the forms of political economy, among others.

Originality/value

The work contributes to existing research not only through the employment of a new set of institutional measures, which allows for a particularly long time-series investigation in a developing country setting, but also through its contribution to studies on modernization and critical junctures but in a longitudinal manner which allows for the exploration of complex dynamics embedded within a country’s particular political economy. The implications are far-reaching and carry importance beyond the academy given the pressure on policymakers to get things right because of the persistence of institutions and their consequences and the associated path dependency.

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Article
Publication date: 24 April 2020

Zara Hammerschlag, Geoff Bick and John Manuel Luiz

The purpose of this study is to explore how African fintech firms adapt their marketing strategies for successful market expansion into new African countries.

Abstract

Purpose

The purpose of this study is to explore how African fintech firms adapt their marketing strategies for successful market expansion into new African countries.

Design/methodology/approach

This exploratory study is qualitative in nature and utilizes semi-structured interviews at 14 African fintech firms.

Findings

The study reveals that, during intra-Africa expansion, firms adapt their marketing strategies by working with local people, prioritizing customer education, creating personal relationships with customers, adapting their communication strategies and pricing strategies and using social media. The strategies that have been most effective involve including the community in the marketing process, prioritizing relationships, segmenting customers geographically, educating customers about products, using local distribution partners and having a flexible approach to strategy adaptation.

Practical implications

It has been argued that technological innovation in Africa in areas such as financial services is a critical driver of its future development, because of the opportunity it presents to promote financial inclusion. Through an increase in venture capital investment on the continent, technological innovations in financial services have grown exponentially, and this study contributes to the understanding of the marketing strategies employed to gain market traction.

Originality/value

This study proposes that African fintech firms adopt a bottom-up, value proposition-driven marketing strategy to successfully navigate the environment. The proposed framework provides a lens through which to understand the components of successful strategy adaptation in Africa, against the backdrop of the unique market challenges inherent in this emerging market continent.

Details

International Marketing Review, vol. 37 no. 2
Type: Research Article
ISSN: 0265-1335

Keywords

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Article
Publication date: 18 December 2018

Nic Robertson and John M. Luiz

This paper aims to explore the delayed, then accelerated, internationalisation of an emerging multinational enterprise (EMNE), with a particular focus on the media…

Abstract

Purpose

This paper aims to explore the delayed, then accelerated, internationalisation of an emerging multinational enterprise (EMNE), with a particular focus on the media technology sector, and how it exploited complementarities between emerging markets.

Design/methodology/approach

The research is qualitative in nature and focuses on the expansion of a South African media technology EMNE case study that has a footprint in over 130 countries and has one of the largest market capitalisations of any media company outside the USA and China.

Findings

EMNEs have unique capabilities in navigating uncertain institutional environments in emerging markets and are able to capitalise upon the institutional complementarities between their home and host countries. This may facilitate the recognition of market opportunities and the harnessing of new technologies to meet these opportunities in complementary markets for accelerated internationalisation.

Practical implications

EMNEs must capitalise upon the institutional complementarities between home and host country locations and use this to take advantage of identified market opportunities. This creates the possibility for a process of accelerated internationalisation. New technologies are creating particular market opportunities in emerging markets which can be exploited by EMNEs.

Originality/value

The authors provide a framework which illustrates how an EMNE can exploit complementarities between emerging markets to identify market opportunities, capitalise upon institutional similarities and harness new technologies in the process.

Details

Multinational Business Review, vol. 27 no. 1
Type: Research Article
ISSN: 1525-383X

Keywords

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Article
Publication date: 27 November 2019

John Manuel Luiz, Kondwani Kachika and Tapfumaneyi Kudzurunga

This paper aims to analyse how processes of institutional change in environments of institutional 'voids' affect smallholder farmer market access in Zambia and Malawi, and…

Abstract

Purpose

This paper aims to analyse how processes of institutional change in environments of institutional 'voids' affect smallholder farmer market access in Zambia and Malawi, and explores the role of different dis/enabling institutional agents and logics. The authors examine this in the context of two divergent routes of institutional change – one externally imposed and the second driven from within the ecosystem itself. The authors consider how these different institutional processes impact upon smallholder farmers and how they are able to adapt to these changes.

Design/methodology/approach

A qualitative research approach is used which lends itself to an analysis of multiple institutional logics that is based upon the multiple positions of market actors. It uses a comparative case study design methodology focused on two broad cases of smallholder farmers in Zambia and Malawi.

Findings

The research demonstrates the tension that multiple institutional logics can create especially amongst those most vulnerable particularly where these are not embedded in local realities and mindful of social settings.

Originality/value

It contributes to the understanding of poverty alleviation in rural developing regions, on overcoming institutional voids, market inclusivity and the role of social entrepreneurs and intermediaries, and builds on the perspective of markets as social spaces for economic exchange.

Details

Society and Business Review, vol. 14 no. 4
Type: Research Article
ISSN: 1746-5680

Keywords

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Case study
Publication date: 26 June 2020

Alexander St Leger Moss, John Luiz and Boyd Sarah

The subject area is international business and strategy. The case allows scope for the following areas: internationalisation, market strategy, emerging market…

Abstract

Subject area of the teaching case

The subject area is international business and strategy. The case allows scope for the following areas: internationalisation, market strategy, emerging market multinational companies, and doing business in Africa.

Student level

The primary target audience for this teaching case is postgraduate business students such as Master of Business Administration (MBA), or postgraduate management programmes. The case is primarily designed for use in courses that cover strategy or international business.

Brief overview of the teaching case

This case centres on the international growth strategy of FMBcapital Holdings Group (FMB), the Malawian commercial banking firm. The case finds the founder and current group chairman, Hitesh Anadkat, in 2016, as he and the FMB board are about to decide on the next move in their Southern African strategy. Since opening the first FMB branch in Malawi and becoming the country's first commercial banker in 1995, Anadkat and his team have ridden a wave of financial deregulation across the region to successfully expand into neighbouring Botswana, Zambia, and Mozambique. Now, an opportunity to gain a foothold in Zimbabwe means the leaders must decide (1) whether they want to continue to grow the FMB footprint across the region, or focus on their integration and expansion efforts within existing markets; and (2) how they will realise this strategy.

Expected learning outcomes

International expansion – identifying the need to expand into new markets; identifying the combination of internal strengths and external conditions that make international expansion viable; and identifying and analysing each possible new market(s) and the decision-making process involved.

Political, social and economic factors in Africa – understanding how these external institutional factors present constraints, risks and opportunities for internationalisation and hence shape strategy; understanding that these factors may vary significantly across countries on the continent (in spite of their geographic proximity) and in some cases, within a single country; and understanding that by selecting markets with extreme socially and politically volatile contexts, the risk of a worst-case scenario transpiring (in which institutional forces trump business strategy) is appreciable.

Combination of resource- and institutional-based approaches – recognising that successful internationalisation requires capitalising upon both internal resources and institutional mastery.

Choosing expansion strategies – assessing the type of new market entry (e.g. greenfield or acquisition of existing operations) and its adequacy for penetrating a new market.

Using networks and local partners – to substitute and enhance the benefits that originally flow from a small (and sometime family-established) business, with an emphasis on acquisition of skills and networks in foreign countries.

Regional integration – optimising business operations through a sharing or pooling of resources and improved capital flow between subsidiaries, in some instances by taking advantage of economies of scale (this extends to enhancing the reputation and awareness of a brand across a wider region).

Family businesses – identifying the value that can be gained through establishing a family business with the support of many “close” stakeholders while also noting the limitation that exist as expansion and growth is required.

Details

The Case Writing Centre, University of Cape Town, Graduate School of Business, vol. no.
Type: Case Study
ISSN: 2633-8505
Published by: The Case Writing Centre, University of Cape Town, Graduate School of Business

Keywords

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Case study
Publication date: 1 January 2011

John Luiz, Amanda Bowen and Claire Beswick

Sustainable development; business, government, and society.

Abstract

Subject area

Sustainable development; business, government, and society.

Study level/applicability

The case is designed to be taught to students at MBA and MA level.

Case overview

In February 2009, Justin Smith, manager of the good business journey at Woolworths, a leading South African department store, was a worried man. Woolworths had launched its five-year sustainability strategy just under two years before. After undertaking an impact assessment, Smith was concerned that the original targets – which covered transformation, social development, the environment and climate change – had been set without a clear understanding of exactly what it would take to achieve them. Woolworths had recently identified ten key risk areas that impacted on the achievement of its original goals. If the sustainability goals were not reached, Woolworths could lose credibility among its shareholders, staff, and consumers. What did Woolworths need to do to ensure that it achieved its sustainability goals? And had the company been too ambitious in the targets it had set initially, he wondered?

Expected learning outcomes

To examine the differences, if any, between sustainable development in South Africa and other developing nations and sustainable development in developed nations; to impart an understanding of sustainability in its broadest sense; to investigate the challenges in implementing sustainability strategies in business; to look at ways of measuring the success of sustainability strategies; and to explore whether and how sustainability strategies should differ across industry sectors and across companies.

Supplementary materials

Teaching notes.

Details

Emerald Emerging Markets Case Studies, vol. 1 no. 1
Type: Case Study
ISSN: 2045-0621

Keywords

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Article
Publication date: 18 September 2017

Dirk Hanekom and John Manuel Luiz

The purpose of this paper is to explore the interaction between multinational enterprises (MNEs) and public governance institutions in regions of limited statehood by…

Abstract

Purpose

The purpose of this paper is to explore the interaction between multinational enterprises (MNEs) and public governance institutions in regions of limited statehood by focusing on three areas of inquiry: first, the impact of MNEs in these environments; second, the mechanisms and levels through which MNEs engage with external governance processes; and finally, the strategic motivation for the mode and level of engagement.

Design/methodology/approach

The authors follow an applied qualitative research approach, drawing on the principles of case study design, through interviews with executives that were involved in setting up four MNEs in Afghanistan.

Findings

The results reveal a relationship between the depth of country embeddedness and the level of engagement of MNEs with public institutions and this is related to issues around risk mitigation and time horizons. Deeper embeddedness in the local markets brings greater exposure to risk leading to more and wider engagement in governance processes and cross-sector partnerships in order to influence these concerns.

Research limitations/implications

The research contributes to institutional theory and demonstrates the interplay between organizations and the institutional surroundings. MNEs in Afghanistan are deeply affected by institutional weakness which contribute toward greater uncertainty and impact their behavior, but MNEs also have a direct bearing on institutions.

Practical implications

In fragile and conflict-affected states, MNEs can contribute toward peace and institution building and reinforce cycles of positive development, or they can further pathological behavior and contribute to conflict.

Social implications

MNEs are increasingly going to be expected to step into the gaps associated with institutional voids and this will require a different approach to doing business and their choice of approach will have a direct bearing on social outcomes in host countries.

Originality/value

The authors reveal two models of MNE engagement in these areas of limited statehood, namely an embedded vs autonomous model and examine their implications.

Details

Management Decision, vol. 55 no. 8
Type: Research Article
ISSN: 0025-1747

Keywords

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Article
Publication date: 4 December 2017

Babalwa Nonkenge and John Manuel Luiz

This paper aims to examine how distance manifests in terms of air passenger transport links between countries and focuses on the 48 countries of sub-Saharan Africa (SSA)…

Abstract

Purpose

This paper aims to examine how distance manifests in terms of air passenger transport links between countries and focuses on the 48 countries of sub-Saharan Africa (SSA). It asks to what extent do existing flight connections reflect economic relations between countries, and if so, do they represent past, current or future relations? It asks whether the impact of distance is similar for all countries and at different stages of development.

Design/methodology/approach

Passenger flight connection data were extracted to generate map images and flight frequencies to observe interrelationships between different locations and to observe emerging patterns. The paper uses ESRI’s ArcGIS software to visualise all these data into maps.

Findings

SSA is poorly connected both intra- and inter-continentally. Cultural and historical ties dominate and elements of historical determinism appear within flight connections in SSA reflecting the biases associated with colonialism. Larger economies in SSA are less dependent on these past ties, and their flight connections reveal a greater level of diversity and interests. SSA has generally been slow to develop flight routings to the new emerging markets.

Originality/value

Its contribution lies not only in examining these flight patterns for an under-researched region but also in aiding future work on SSA and its integration into the global economy and international business networks. It argues that whilst distance matters, how it matters varies.

Details

critical perspectives on international business, vol. 14 no. 1
Type: Research Article
ISSN: 1742-2043

Keywords

Content available
Article
Publication date: 18 April 2016

Cleopatra Veloutsou, Francisco Guzman, John Gountas and Luiz Moutinho

Abstract

Details

Journal of Product & Brand Management, vol. 25 no. 2
Type: Research Article
ISSN: 1061-0421

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