A recent study conducted across the African continent revealed a significant shift in the techniques employed by Micro, Small, and Medium Enterprises (MSMEs).
According to the poll, 45% of these companies are successfully generating sales by leveraging the potential of online platforms.
This poll, conducted in collaboration with GeoPoll, Africa 118, and the African Talent Company, delves deeply into the strategies and tactics used by MSMEs across industries and nations.
The goal was to determine how these businesses are capitalizing on the digital realm’s potential. The findings offer important insights into the changing dynamics that govern their operations.
When asked about their evaluation of the business environment, a sizable 55% of the enterprises polled reported improvements in their country’s business climate over the previous year.
Only 52% of Nigerian businesses say the current situation is worse.
In order to cope with growing inflation, 36% of business owners said they had to dip into their personal funds, while 32% cut business activities. To traverse the tumultuous waters, nearly one-quarter (23%) attempted to make ends meet by decreasing personnel or slashing compensation.
Looking ahead, 34% of respondents said they are neither enthusiastic nor pessimistic about the next three months’ improvement.
Companies in South Africa (43%) and Nigeria (31%), in particular, are “extremely optimistic” about the situation improving. On the other end of the scale, only 9% of Ethiopians expressed strong optimism.
The survey also dug into the important issue of talent acquisition and retention, revealing that a quarter of businesses (24%) struggle to locate competent employees. Surprisingly, Ethiopian enterprises encountered the most significant challenge, with more than half (52%) describing it as “very difficult.”
Larger sectors in Nigeria (28%), Kenya (24%), and South Africa (24%), on the other hand, indicated significantly easier access to talent.