DOING BUSINESS IN NIGERIA AND GHANA

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DOING BUSINESS IN NIGERIA AND GHANA

• PROSPECTS, PEOPLE AND CULTURE
• BY ALIYU MUSA

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INTRODUCTION

• NIGERIA

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ECONOMY

• NIGERIAS ECONOMY IS COMPLEX AND LARGELY
  MONOCULTURE
• OIL AND GAS (mainstay of the economy)
• AGRICULTURE (groundnuts, cotton, cocoa, oil palm,
  rice, kolanut, millet, corn, cassava, peanuts,
  sugarcane, cotton also livestock like poultry,
  goat, sheep, beef and diary cattle, hogs etc.)
• MANUFACTURE (textile, beverages, cigarettes, soap
  and detergents, foodstuffs, vegetable oil
  processing, shoes, cement, flour milling, paper
  and packaging, glassmaking, fertiliser,
  pharmaceuticals, steel rolling and manufacture
  etc

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THE PEOPLE

• THE
  NORTH
• ALL PARTS OF NIGERIA SOUTH OF THE RIVERS NIGER
  AND BENUE
• THE PEOPLE ARE MAINLY MUSLIMS
• BUT THERE ARE CHRISTAINS TOO
• HAUSA/FULANI ARE DOMINANT ETHNIC GROUP IN MOST
  PARTS
• THE KANURI/SHUWA ARAB IN N/EAST
• NUPE, IGALA, EBIRRA, TIV, GBAGYI, JARAWA, IDOMA,
  BEROM ETC ARE FOUND IN THE MID BELT
• MORE CHRISTIANS IN THE MID BELT THAN OTHER PARTS
  OF THE NORTH
• HAS HAD A HISTORY OF RELIGIOUS DISTURBANCES, BUT
  NOW CALM
• THERES OIL RESERVE, POSSIBLY, IN THE LAKE CHAD
  AREA

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CULTURE

• HAUSA/FULANI SPEAK HAUSA
• HAUSA IS WIDELY SPOKEN IN THE NORTH IS BUSINESS
  LANGUAGE
• ISLAMIC CULTURE PREVAILS
• MEN ARE MOSTLY DRESSED IN LONG (AND SOMETIMES
  WIDE) ROBES WITH TROUSERS AND CAP/HAT TO MATCH
• ALTHOUGH THERE ARE MANY EDUCATED ELITES, MOST
  PEOPLE HAVE ACQUIRED ISLAMIC/ARABIC LITERACY
• FEWER EDUCATED WOMEN
• OFTEN WEARING MODEST ISLAMIC OR HAUSA CULTURAL
  DRESS
• WOMEN DO NOT SHAKE HANDS WITH MEN THERE MAY BE
  SOME RESTRICTIONS
• BUT THEYRE PART OF THE LABOUR FORCE, ELITES ETC
• THERES LESS RESTRICTION IN THE CHRISTIAN NORTH
  LIKE PLATEAU, TARABA, BENUE AND KOGI STATES
• ON THE CONTRARY, SHARIA IS NOT A PROBLEM

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UNDERSTANDING THE
NORTHERNER

• AN AVERAGE NORTHERNER IS HUMBLE BUT SHY
• HE IS HOSPITABLE AND OFFERS VISITORS SOFT DRINKS
  OR, IF ONES WISHES, TRADITIONAL DRINK OF COW MILK
  AND MILLET
• HE IS USUALLY STRAIGHT FORWARD, AND BUSINESS
  MINDED
• BUT HARDLY EVER ALLOWS BUSINESS TO STAND BETWEEN
  HIM AND HIS RELIGION (he stops whatever hes
  doing to pray whenever its time)
• HE APPRECIATES WHEN RESPECT IS SHOWN FOR HIS
  FEELINGS/RELIGION
• NEGOTIATION OFTEN DOES NOT TAKE MUCH TIME
• OFTEN RUNS A ONE-MAN-SHOW
• WELCOMES NEW AND SUPERIOR IDEAS

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MAJOR NORTHERN BUSINESS
CITIES

• KANO (commercial nerve-centre of the north)
• KADUNA
• JOS
• MAKURDI, GBOKO
• ABUJA (seat of power and Nigerias administrative
  capital)

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THE PEOPLE

• THE SOUTH-WEST
• ALL PARTS SOUTH OF THE RIVER NIGER
• THE YORUBA ARE DOMINANT ETHNIC GROUP
• MIXTURE OF CHRISTIANS, MUSLIMS AND TRADITIONISTS
• FURTHER, THERE ARE MINORITY TRIBES LIKE IJAW,
  EGUN, EDO AND ESAN ETC (mainly Christians)
• LAGOS IS A MULTI-ETHNIC SETTING
• WITNESSED INTER-ETHNIC CLASHES, BUT NOW CALM

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BUSINESS CULTURE

• YORUBA AND PIDGIN ENGLISH
• VISITORS ARE USUALLY OFFERED WINES OR SOFT DRINKS
• MOST MEN ARE EMPLOYED IN WHITE COLLAR JOBS
• YORUBA WOMEN DOMINATE COMMERCIAL ACTIVITIES
• NO SPECIFIC DRESS CODE/CULTURE
• IGBO MEN DOMINATE SPARE PARTS BUSINESS
• COMMERCIAL ACTIVITIES USUALLY AFFECTED BY
  TRAFFIC/TRANPORT PROBLEMS AND ELECTRICITY/POWER
  OUTAGE
• NEGOTIATION IS USUALLY SLOW, PRESENCE OF MID MEN
• CARE MUST BE TAKEN WHEN TRANSACTING BUSINESS

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HOW THINGS WORK IN LAGOS

• LAGOS IS NIGERIAS COMMERCIAL NERVE-CENTRE
• HOUSES PEOPLE OF DIVERSE CULTURE AND BELIEFS
• YOU MUST HAVE GOOD CONTACTS TO DO BUSINESS
• MUST BE AWARE OF FRAUDSTERS
• MUST ALWAYS LEAVE FOR APPOINTMENTS WELL AHEAD OF
  TIME (but Lagosians are always used to being
  late, no thanks to traffic problem)
• WHEN MAKING APPOINTMENTS ALWAYS INSIST ON
  PUNCTUALITY
• AVOID DIRECT CASH TRANSACTIONS

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THE PEOPLE

• THE
  SOUTH-EAST
• THIS IS SOUTH OF THE RIVER BENUE
• HOME TO THE MOST INDUSTRIOUS AND BUSINESS MINDED
  ETHNIC GROUP- IGBO
• LEVEL OF LITERACY AMONG MEN IS NOT AS HIGH AS IN
  OTHER PARTS
• MORE EDUCATED WOMEN THAN MEN
• MAINLY CHRISTIAN
• DOMINATED BY THE IGBOS
• OTHER ETHNIC GROUPS ARE IBIOBIO, ITSHEKIRI,
  URHOBO, CALABAR, CALABARI, OKRIKA, OGONI, NEMBE
  ETC
• HAS MORE OIL RESERVE THAN ALL OTHER PARTS OF
  NIGERIA PUT TOGETHER (Niger Delta)
• ITS DELTA AREA PRONE TO VIOLENCE

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UNDERSTANDING THE CULTURE

• THE IGBO ARE USUALLY PROUD
• THEY WELCOME GUEST BY OFFERING THEM KOLANUTS,
  WHICH MUST BE ACCEPTED
• IGBO LANGUAGE IS WIDELY SPOKEN BUT WITH VARIATION
• MINORITY TRIBES FEEL DOMINATED
• HOME TO NIGERIANS WHO WOULD PREFER TO SECEDE
• PIDGIN ENGLISH IS BUSINESS LANGUAGE
• SOME PARTS ARE POLLUTED BY OIL SPILLAGE
• NO SPECIFIC DRESS CODE, ENGLISH DRESS WIDELY
  ACCEPTED

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HOW THINGS WORK IN THE
SOUTH-EAST

• PEOPLE HERE ARE VERY SMART AND FAST
• NEGOTIATION TAKES LITTLE TIME, BUT CARE MUST BE
  TAKEN
• ACTIVITIES OF FRAUDSTERS IS A MAJOR PROBLEM
• PEOPLE ARE HOSPITABLE, ESPECIALLY IF YOU TRY TO
  UNDERSTAND OR IDENTIFY WITH THEIR WAY OF LIFE
• LIKE MOST OTHER PARTS OF NIGERIA POWER OUTAGE
  AFFECTS BUSINESS

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MAIN CURRENCY/MEDIUM OF
EXCHANGE

• THE NAIRA (in notes)
• EXCHANGE RATE (TO POUNDS OR DOLLARS) FLUCTUATES
• THERERE MANY PARALLEL MARKETS
• ALWAYS DEAL WITH BANKS

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GHANA
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FACTS ABOUT GHANA

• CAPITAL IS ACCRA
• A MULTI PARTY DEMCOCRACY
• OPERATES PRESIDENTIAL SYSTEM OF GOVERNMENT
• DIVIDED INTO 10 REGIONS WITH THEIR CAPITALS
• PEOPLE ARE HOSPITABLE
• AN ESTIMATED POPULATION OF ABOUT 21.8 MILLION
• MUCH SMALLER THAN NIGERIA IN SIZE TOO
• CURRENCY IS CEDIS
• HAS 60 LANGUAGE GROUPS
• ENGLISH IS THE OFFICIAL LANGUAGE
• OTHER LANGUAGES WIDELY SPOKEN AND USED IN
  BUSINESS ARE TWI, FANTE, DAGBANI, EWE, HAUSA,
  NZEMA, AND GA

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RESOURCES

• COCOA (worlds second largest producer)
• GOLD
• TIMBER
• TUNA
• BAUXITE
• ALUMINIUM
• MANGANESE ORE
• DIAMONDS

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PEOPLE AND CULTURE

• CHRISTIAN MAJORITY (dominating the south mainly)
• MUSLIMS ARE FOUND IN THE NORTH (as in Nigeria)
• PEOPLE ARE VERY HOSPITABLE
• OFTEN OFFER VISITORS WATER AND CHILDREN KNEEL
  DOWN TO GREET ELDERS
• SIX MAIN ETHNIC GROUPS (Ashanti, Ewe, Fante,
  Ga-Adangbe, Gaun and Gurma)
• ASHANTI ARE LARGEST ETHNIC GROUP (they are
  matrilineal, noted for craft work like weaving
  Kente and stool carving made by men, while women
  are only noted for pottery-making)
• EWE ARE FOUND IN SOUTH-EAST GHANA
• FANTE OCCUPY THE COASTAL REGION
• TWI LANGUAGE SPOKEN BY THE ASHANTI IS RICH IN
  PORVERBS
• GHANA HAS THE HIGHEST NUMBER OF CHRISTIANS IN
  WEST AFRICA
• 25 OF THE POPULATION IS TRADITIONIST
• MEN WEAR SMOCKS IN SOME PARTS

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CONCLUSION

• BOTH COUNTRIES ARE LEADING ECOWAS MEMBERS
• THERES SIMILARITY IN THE WAY BUSINESS IS
  CONDUCTED
• GHANAIANS ARE MORE TIME-CONSCIOUS THAN NIGERIANS
• THEIR ENGLISH IS MORE FLUENT
• BOTH COUNTRIES HAVE ADVANCE FEE FRAUD PROBLEM
• BUT GHANA IS MORE ORGANISED IN DEALING WITH
  CRIME, CORRUPTION AND OFFICIAL HIGH-HANDEDNESS
• ELECTRICITY/POWER PROBLEM IS LESS PRONOUNCED IN
  GHANA
• NIGERIA IS RICHER, BIGGER AND HAS MORE AND BETTER
  BUSINESS OPPORTUNITIES
• GHANA HAS MORE INTERNET ACCESS THAN NIGERIA
• IT BUSINESS IS STILL COMING UP IN NIGERIA
• TELECOMMUNICATION (TELEPHONE) IS ALSO NOT STABLE
  YET
• BUT POTENTIALS ARE GREAT
• THE WEST AFRICAN COMMON CURRENCY IS SET TO CREATE
  A COMMON MARKET AND ENSURE GREATER TRADE,
  COOPERATION AND INTEGRATION IN THE SUB-REGION