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Best Market Entry Strategies for Foreign Companies in Kenya

Best Market Entry Strategies for Foreign Companies in Kenya – Kenya is one of the key logistical conduits into the East African Community Regional Market consisting of south Sudan, Tanzania, Uganda, Rwanda and Burundi. Many foreign companies establish their regional headquarters in Kenya. Here are some of the entry strategies that foreign companies can consider.

  • Exporting

The simplest and easiest way to meet the needs of the Kenyan and East African markets is by Exporting. This approach has minimal effect on the ordinary operations for your Company and the risks involved are less than other alternatives. There are two broad avenues of Exporting; Indirect and Direct Exporting. The two forms of Exporting are distinguished on the basis of how the exporting company manages the transactions flow between itself and the Kenyan Importer or Buyer. When it comes to Indirect Export the manufacture leverages on the services of various types of independent Marketing Organizations located in Kenya and are in the Business of Importing and Distribution of the Products. Direct Importing will involve your Company doing the Importation and Distribution of the products.

  • Joint Venture

In this strategy, your company Joins Hands, Shares ownership and management with another company. This method works best for two Companies with complementary Assets, Distribution Channels, and Technology . This company Mutually benefits the two companies and enables them to achieve common objectives that include; risk/reward Sharing, technology sharing, Joint product development, Political Connections, and Conforming to Government Regulations

  • Franchising

This is a system in which Local business owners (franchisees) pay fees and royalty to your foreign company (franchiser) in return for the right to be identified by your trademark, to sell your product or services and often use your  business format or systems. There are two types of franchising relationships the business format relationship where you provide to the Local Business not just a trade name, product/service, but an entire system for operating the business. The other type is traditional or product distribution relationship the focus for this is not the system of doing business but mainly on the product you manufacture or supply the local Business.

  • Mergers and Acquisitions

A merger is a combination of your entity with a Local Entity Leading into the creation of a new one, the desired effect being the accumulation of assets and liabilities of distinct entities and several other benefits such as economies of scale, tax benefits, fast growth, synergy and diversification. The merging entities cease to be in existence and marge into a single servicing entity. Acquisition comes in when you acquire controlling interest in another company. It does not lead to dissolution of the company whose shares have been acquired but it leads to a change of the company ownership structure.

  • Strategic Alliance

This is a voluntary formal agreement between your Company and a Local Entity to pool your resources to achieve a common set of objective while remaining independent entities. It is mainly used to expand the production capacity and increase market share for a product. Alliances help in developing new technologies and utilizing brand image and market knowledge of both the companies.


Ultimately the choice of a market entry strategy in Kenya is very important in the entrant’s future decisions and performance in the local markets due to complex, continual change and dynamic business environment. It is Vital for foreign companies to adopt entry strategies that will preposition them to take the chances in the Kenyan economy in a manner that is bearable.

Contact us Today for an in depth insight on the Best approach for your company. We are also happy to help you identify and contract local Partners in order to help you smoothly penetrate the local Market.


What to Consider when Starting a Business in Kenya

What to Consider when Starting a Business in Kenya – Entrepreneurs are widely recognized as the prime movers of economic development, this are the people who translate ideas into action. Having ideas which are actionable is just a tip of the iceberg, execution is key to make this ideas great concepts and successful businesses. So what are some of the factors that you need to consider before Starting a Business in Kenya? This article looks and the critical factors that may make your start-up a success.

  • Industry Knowledge

It is quite hard for one to succeed in a business they have little knowledge about. Get to know the in and outs of the industry you are getting into. The best method is to have a business plan in place where it outlines a SWOT analysis (Strength, Weakness, Opportunism and Treats). Get to know if there any entry barriers in the industry and how to overcome them. Get to learn who the industry players are and who are considered the big wigs in that industry. Get to learn about your competitors, what are their strategies, their strengths and what are their weakness and what can you use to your advantage? This will help you develop a much more effective strategy for your business. Then get to understand your market in other words who will purchase your products/service. Other questions to ask yourself is the market big enough to sustain your business?

  • Capital Requirements

Capital is essential for any business however big or small. You need to calculate beforehand all the necessary capital that you will require to fully set up the business. Create a budget an operational, service/product and equipment budget. This kind of budget outlines all the company need to start and also a few months into the business before it picks up. After getting to know how much its need to be identify  the capital source. Funding can be either from your savings, loans from friends or a bank loan.

  • Location

Where your business is located matters to your customers. It is vital to choose a location that is accessible to people, a location that has a high population and a location that will give your business an advantage.

  • Legal Documentations

Know all the legal requirements for the business and have them ready before starting the work this will ease your way of doing business and you will have your mind at rest. Also get to know any other rule or regulation that may not be outlined but are required. Get yourself acquitted with all county regulations and national regulation each county government has its own set of rules.

  • Positive Attitude

A positive attitude will help you in passing all the challenges and difficulties that comes up with any new business. There will be a lot of risks and hurdles you will face in this process and the only thing that will save you is your attitude and a good attitude at that.

  • Know when you need Help

The development of a business is not a matter of a day or a week it will involve a lot of time that is spent with hard work. You will be needing the help of some experts. Make sure you are ready to have an adviser or business mentor who can provide with the best advice at the hour of need.

This are just some of the many essentials you would consider when starting your business. It is also critical to remember that some business pick up fast while others take a bit longer. It is vital that you be patient through this process.

We are always Happy to help our Clients Start Successful Businesses, Click Here to Request for a Free Consultation Session.


10 Strategies to help you Succeed in Business in Kenya

Strategies to Succeed in Business in Kenya – To Succeed in Business in Kenya today, you need to be flexible and have good planning and organizational skills. Many people start a company thinking that they will turn on their computers or open their doors and start making money, only to find that making more in a business is much more difficult than they thought

  • Get Organized

To be successful in business you need to be organized. Organization will help you complete tasks and stay on top of things. Create a to-do list each day and as you complete the item check it off your list. Therefore you will not forget anything and making sure that all the tasks are covered.

  • Your Company, Your Asset

Learn to understand and appreciate your company as an asset. If you were to sell or to divert your time elsewhere could the business survive without you? Build a business that is bigger than you. This will allow you to keep the business vibrant and growing forever with or without you.

  • Plan, plan and plan some more

You need a destination and you need a map to go there. There is nothing wrong about planning for your success.  A business plan helps the business owner to think thorough issues and understand problems. Create a strategic plan for the company have long and short term goals. The short term enables greater accuracy in completing the action steps to achieve the key initiatives.

Who is your customer, where are they located and how large is the market? When they look at my company what do they see? Take time to understand your customers and consider how they react to your products/ services. it is easy to create marketing materials but the magic comes if you have strong strategy behind that, that’s focused on objectives you have targeted to customers  you are trying to attract. Social media is an incredible asset to any business which builds a network of followers, friends and supporters that you can count on.

  • Learn to sell and keep learning

One can excel in every other step, but business success will depend greatly on how well you can sell. Learn the art of selling, get outside help where needed.  There are 6 aspects of sales, the Society – knowing who is being targeted and who the ideal client is; Silo – identifying the niche the business can dominate; Solution – recognizing the problems the business can solve that on other business can solve; Strategy – developing a plan; Structure – accountability, management and compensation of the sales force; and Systems – the methodology that the business deploys.

  • Analyze your Competition

Competition breeds the best results. To be successful, you can’t be afraid to study and learn from your competitors. After all, they may be doing something right that you can implement in your business to make more money.

  • Manage People, Process and Benefits

Making a business successful as a lot to do with the ability to attract and retain quality employees who will be the face of the business. A benefits program as part of the company compensation package is a tool to build loyalty within an employee pool. It shows how much an employer cares about them, and employers who care get employees who care.

Accounting is important when you are starting a business, you get to know what you’re getting into in terms of numbers. Financial statements show the health of the business. Make sure as a business owner you understand the ins and outs of cash, plan to build wealth, pay taxes, provide benefits for employees, and compliance measures. Dealing with customer debt is an issue in business you should ask yourself how risky is the client? Should the business collect a retainer up-front? Keep your business account separate from your personal account. For financial reporting, establish good policies and procedures dorm the beginning. Have consistent policies and procedures in place so that as you add people the organization, you will continue to record transactions in the same consistent manner.

  • Retaining Customers, Maintain Communication

Customer service is the differentiator of business, your competitors will be able to copy your products or service but they can never duplicate people. As a business your number one focus should be trying to build a relationship not just complete a transaction. Get to know why the customer prefers your products/services and help them find success in using your products/service. They will get emotionally attached to your company and this is a proactive contact as well as in reactionary response to complaints. With social media complaints and issues today travel fast, ignoring compliant can hurt your business brands but dealing with them can potentially promote it.

  • Invent or Improve

Technology is important for its ability to help businesses scale up to provide consistent results. The advantage with technology is that it enables business functions to connect directly with each other. However technology keeps evolving therefore as a business you either invent or improve with the times. This will help in faster delivery of products/services, to making you an efficient business. No matter how great your product, you must perpetually innovate your offerings or die.

Always remember that you can never make a successful business alone you will need help so it is critical that you understand at what point you really need help. Feel free to Contact Us today for a Free First Consultation Session


3 Top Businesses to Invest in Kenya

Businesses to Invest in Kenya – Kenya is a good place for both Native and Foreign Entrepreneurs . The economic survey of 2018 has estimated the economy to have expanded by 4.9 percent in 2017 compared to a revised growth of 5.9 percent in 2016. When it comes to Businesses to Invest in Kenya many people give priority to the most Profitable Opportunities available. This blog focuses on such areas in no order of Preference or Profitability.


Agriculture is the mainstay of the economy and provides approximately 75 percent of the population. Right now the concept of agribusiness has a lot of potential investors channeling resources. In 2017 alone the sector contributed Kshs2.3 trillion to the economy. The sector ranges from rearing Chicken, Rabbits, Growing wheat to taping into the Export produce such as Avocados, Tree tomatoes fruits among others. The secret of agribusiness is to go beyond the orthodox Crops and livestock. One also need to invest in the farm so as to maximize on the returns. Also critical is that one seeks the services of experts for direction on the best practices and technical support.

Real Estate and Construction

With the Rapid population growth there is huge demand for housing in major cities around the country. This has led to the coming up of towns surrounding the cities and hence increased demand for residential housing. Opportunities for investment exists particularly in the area of upgrading slums and informal settlements, urban renewal, construction of middle and low income housing, manufacture and supply of building materials and components.

ICT Sector  

With the government making ICT a priority in its economic recovery strategy initiatives and the increased rates of e business and mobile transactions, there has been an increased demand for ICT related service providers in Kenya. Mobile phones are now abundant in Kenya and with devices changing constantly the demand for the latest phones and accessories will keep this sector growing. Internet access has improved as the population is getting more tech savvy. Areas in which investors are keen to look at are Data recovery, Online services, Electronic Gadgets, Software Development, Education and Training.

There are limitless Businesses to Invest in Kenya however this are just the top most sectors that one can look into. If you are looking for more areas to invest in you can Contact Us us for a feasibility study or Market Research.


Simple Steps on How to Register a Company In Kenya

Simple Steps on How to Register a Company In Kenya –

To Register a Company In Kenya You only need to Follow the Following Simple Steps. The Process is Equally Simple for Both Local and Foreign Directors.

1. We Meet you and get to Understand your Business
2. We Receive Official instructions and Registration Documents from the Client.
3. We Conduct a Name Search and prepare the Registration Forms
4. The Client Signs All the Registration Forms
5. Company Registration is Approved and Client receives the Incorporation Certificate and Form Cr12
6. KRA PIN, NHIF, NSSF Registration and Bank Account Opening
7. Client Receives all the Company Registration Documents

How to register a Company In Kenya

Click here to Read More about our Company registration Services.