Many people are of the notion that there are little to no business opportunities left in Zimbabwe were starting a business is concerned.  They look at the players in industry, their financial wealth, their numbers and their products among other things and they lose hope.  Capital and other issues are a big stumbling block I agree but I do believe that, ceteris paribus, business opportunities still exist in the nation for those that are willing to take the plunge.  If you have a little money then you have an even bigger chance.  Below I will explain why.

  • The current players are leaving gaps: A question that I will ask you is, ‘Is there a company that you know that has customers that are completely satisfied?’  If the answer is yes the next question is ‘How many companies do you know that are in that position?’  The answers to those questions will prove that opportunities still exist in the economy.  There are gaps being left by current players ranging from poorly conceived products to poor customer service delivery.  It is up to you to take advantage of that.
  • Changing customer needs: There is a term called the First Mover Advantage.  It follows that someone who makes the first move in a market usually benefits a lot.  An opportunity is there if you can anticipate changing trends and act on them quickly.  An industry might already have players but their structures may not allow them to change quickly enough or they might fail to anticipate the change in customer needs.  Take a look at what happened to Zimpost.  A wise business person can capitalise on this by anticipating a trend and acting.
  • Customer loyalty is low: The principle of the Net Promoter Score (NPS) looks at how likely customers are to recommend a company’s products or services to their family and friends.  As we all know personal referrals are probably the most important source of growth in a market.  A lot of companies in Zimbabwe would (if a survey was conducted) not have a good NPS score meaning that customers are likely to try alternatives if they are good enough.  The last statement is my expert opinion and I am willing to bet on that.  So, give it a shot, be the alternative!
  • A lack of innovation: The trend in business in Zimbabwe at the moment is that of copying.  Everyone is doing it from the big firms to the small firms.  If you see a product on a shelf in Zimbabwe Google it and you might even find the product produced elsewhere with the same name.  Coming closer to home Alcatraz started the clothing craze, now we have hundreds of clothing shops dotted across town.  Take your time to think of something unique that cannot be copied easily.  If you cannot think of something operate in the same industry differently.  Remember, the path that is walked on by fewer people is usually more beneficial.
  • A lack of resources: Is there a player in the market that we can safely say has all the bases covered?  The state of the economy is such that this is very difficult to do.  As a result even industries with big players still have business opportunities in terms of serving those parts of the market that they cannot cover.  In the FMCG arena there is still room for providing customers with special foods and products.  In the home electronics there is still an opportunity to introduce new brands to compete with the local brands, for example, Indesit versus the local brand Superior.

Business opportunities still exist for large and small entities to gain a foothold in the market.  If you are a large firm you should be thinking of how to defend your position better and if you are a small corporation you should be looking at how to identify and exploit these gaps.  It is all about how you conceive and implement your strategy.

Have a good day.

RM