Directions in Development - Private Sector Development: Performance of Manufacturing Firms in Africa : An Empirical Analysis (Paperback)

This book presents empirical evidence on manufacturing firm performance in Africa based on the World Bank Enterprise Survey and on a one-time quantitative survey conducted for the World Bank by Oxford University's Centre for the Study of African Economies. Because of their institutional environment, their labor productivity is low, and their labor costs also tend to be low. Key constraints to firm growth vary by country, by sector, and by firm size.

Performance of Manufacturing Firms in Africa: An Empirical Analysis sheds light on the characteristics of formal and informal manufacturing firms in Africa by comparing these firms with firms in other regions. Drawing on two data sources, the authors find that there is a very low share of manufacturing in GDP in Africa and in African exports. Most African manufacturing firms are informal, perhaps because the enforcement of registration and licensing regulations is not strict. These firms are also smaller than firms in other regions and few export. Labor productivity is low in Africa relative to other regions, but this may be because of the more challenging environment—with the lack of physical infrastructure, the heavy burden of business regulation, and other issues. However, after accounting for these differences, the authors find that firms in Sub-Saharan Africa appear more, not less, productive than firms elsewhere. This analysis suggests that improving the business environment might allow firms to enhance their performance. However, given the pervasive distortions in the business environment and the limited resources at the disposal of most African countries, Africa cannot and should not wait until the business environment becomes healthier before growing a more viable manufacturing sector. Performance of Manufacturing Firms in Africa: An Empirical Analysis shows that binding constraints vary by country, by sector, and by firm size. Therefore, countries should identify the constraints in the most promising sectors and adopt policies designed specifically to remove these constraints. The evidence in this book overwhelmingly dispels the false notion of Africa’s inability to compete globally in manufacturing goods. This book will be of interest to economists, policy makers, and government officials working to improve manufacturing firm performance in Africa.

Manual & guide type	Instruction Manual
Book format	Paperback
Edition	1
Pages	234
Language	English
Brand	Hinh T Dinh
Pub date	2012-08-08
Author	Hinh T Dinh
Subgenre	New Business Enterprises
Genre	Business & Investing
Bisac subject heading	Business & Economics
Series title	Directions in Development - Private Sector Development
Number in series	0
Dimensions	6.00 x 0.49 x 9.00 in
Editor	Hinh T Dinh; George R G Clarke
Age group	Adult
Piece count	0
Retail packaging	Single Piece
Original languages	English