The African continent was not perceived as a business environment at least two years ago. However, as governments became more stable and politics settled considerably, an important economic growth was recognized in these lands. Therefore, many developed countries like The United States and China aimed to establish business here, illuminating future for Africans.
This economic growth was the incentive for developed countries to find in Africa a source of inexpensive yield to satisfy their needs. Furthermore, as this “unknown heaven” for labor and material resource was used, a conflict arouse about the lack of ethical values in this scenario.
These businesses seemed to benefit developed countries more than African ones, particularly with China: the term “new colonialism” was used to label the situation between China and Sub-Saharan countries. Not only did the Asiatic country exported workers to Africa, restraining the rising employment there; but also were raw materials exported from Africa to China, not allowing the former to access the know-how or technology needed to explode their capabilities to develop local businesses. In other words the entrepreneurial environment was not created correctly.
In this case there were no constraints on the gaining of one-side’s goals. A free enterprise environment implicitly makes mandatory the use of social conscience so that we can all benefit from our and others’ strengths aiming improvement in the world and sustainability. In this case China could have used more social responsibility towards Africa.
link: http://www.bbc.com/capital/story/20130529-african-bonds-folly-or-not