Hi readers, welcome to our last blog about the impacts of telecom development on local entrepreneurship in Africa.
This week we have been working hard on our final assignment and presentation and have found some interesting conclusions. We will present them here:
Mobile phones are providing essential and beneficial services for entrepreneurs in Africa. They help entrepreneurs to save money on travel and services like M-PESA make it easier to transfer money between people. M-PESA increased income of entrepreneurs by op to 30 percent, and improved their cash flow which enables new investments and growth, this is the result of money being sent more frequently (Vodafone, 2005). Lack of cash flow is an often heard complaint from entrepreneurs (Luiz, 2010). Mobile services improve the speed of money transactions since there is no longer any need to visit a bank which is often not available in rural areas. Mobile phones also lower the costs for entrepreneurs which helps entrepreneurs to make more profit from their ventures. Furthermore, the reduced traveling costs have a high impact on entrepreneurs (Vodafone, 2005). Mobile coverage in Africa is still not 100 percent, but it is going through a staggering growth, which everyday enables new entrepreneurs to use mobile services. It’s safe to say mobile services have positive impact on the entrepreneurial population in Africa.
We really enjoyed working on this project and course and are looking forward to the last course of this minor.
I hope you’ve enjoyed our presentation.
Guido, Martijn & Mike (Group 6)