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Ask PG: Why do you think Africa cannot produce global scale start ups?

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Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#81
post #45

If you're anxious to start a startup, you should probably move to the US, Europe, or East Asia. There is simply too much infrastructure to replicate. That's also true of starting a startup in Oskaloosa, Iowa, too. If that's a problem, it would be interesting to know why.

I see Oo around London pretty often, so I don't imagine the question is about his personal location. I suspect it's more about why a continent is being written off.

Probably for the same reason that Kansas is being written off, only more so, perhaps even to the same degree.

Keep in mind that a large group of people with a low average income means that your a larger portion of any marketing budget is wasted.

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#82
post #57

Earlier quoted context omitted.

Re: "What unique advantage does being from Africa give you?" I am in Cape Town, South Africa and let me tell you it is one of the most beautiful cities in the world, with a university producing decent CS graduates (Mark Shuttleworth), beautiful weather, vineyards on our doorstep, plenty of African color and positive energy, terrific advertising talent, and the typical South African work ethic. South Africans love wor…

There's nothing uniquely African about beautiful cities. And what does that have to do with "objectivity"?

The point is that Cape Town is African and beautiful and provides a unique vantage point from which to observe the world.

More directly, Africa's juxtaposition of financial poverty and spiritual wealth, can teach humility and offer perspective.

The race is not always to the swift, nor the battle to the strong, but time and chance happen to them all.

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#83
post #57
post #52

I think the main reasons Africa hasn't produced global scale startups is that they (global scale startups) are so rare you really need everything to be in your favor AND to have a lot of luck for a startup to become a global success. What unique advantage does being from Africa give you? I'm assuming you are clever and lucky - but there are a lot of clever, lucky people around who also have access to friends with hug…

Re: "What unique advantage does being from Africa give you?" I am in Cape Town, South Africa and let me tell you it is one of the most beautiful cities in the world, with a university producing decent CS graduates (Mark Shuttleworth), beautiful weather, vineyards on our doorstep, plenty of African color and positive energy, terrific advertising talent, and the typical South African work ethic. South Africans love wor…

Cape Town has very little to do with the Africa most of the world is thinking of. OP's question is about Nigeria. Not so long ago, Nigeria wouldn't even let you in if your passport had a South African stamp.

The problems and opportunities in Cape Town for startups have, in my experience, no relevance to Lagos, Kinshasa, Abidjan, Accra ...

As you're from Cape Town, you know this is the real problem:

http://sewayoleme.wordpress.com/2008/07/08/africa-in-perspec...

Most people have no idea Africa is larger than US, Europe, India, and China combined, but without infrastructure on most of the continent and so tribal that even greed takes a back seat to boosting a friend from the village.

These aren't bad things, they're just different--and Kaapstad, Africa's first permanent European settlement and now considered the most entrepreneurial city in South Africa, may not offer the best model for addressing the OP's problem.

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#84

First of all I would apologise for not responding since. I foolishly forgot to remove my noprocast setting so I was essentially locked out of hacker news while this has been up. I would like to point out that I worded my question poorly. I do not agree Nigeria/Africa cannot create world class startups. I meant to say like RobFitz pointed out below: Why does PG and others like him capable of change write off a whole c…

> 1: Lack of Trust 2: Lack of infrastructure (Legal, Human resources, Power, e.t.c)

When you redefine the issue as creating a startup like Rapportive, saying that Rapportive could be launched from anywhere, it happens you answer your own question as to why not: "an identifiable problem breeds opportunity".

To invent a Rapportive, you need cultural immersion in the "problems" a culture virtually without problems faces. You can get education, and you can get resources. But as the poster from South Africa wrote, you also have objectivity and see "real problems" all around you. With your objectivity, looking up someone's email across social sites doesn't feel like an important problem, so it's less likely to get solved from the third world.

That said, Africa also gives rise to an incredibly positive cultural acclimation--fixing things with whatever's on hand. That's an extraordinary talent if applied philosophically and pragmatically, allowing one to invent and solve around the barriers you mention. That's "hacking".

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#85

120 points and 67 comments later, I am still waiting to hear PG's point of view. :(

Well... do you think PG will have something to say that isn't already within these comments? Or do you just want to force him into responding with no other goal in mind?

HN isn't his inbox, after all. The discussion here is pretty interesting, and worth talking about -- that's why the topic has been voted up. But if PG (one of very many participants in HN) personally wants to write an updated statement about his views on investing in Kenya or other African countries that is primarily based on what's already being said here, that might be more appropriate for an essay (which takes time).

If he doesn't have any insight that adds to the discussion, I don't see why he should feel obliged to comment.

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#86
post #57

Earlier quoted context omitted.

Re: "What unique advantage does being from Africa give you?" I am in Cape Town, South Africa and let me tell you it is one of the most beautiful cities in the world, with a university producing decent CS graduates (Mark Shuttleworth), beautiful weather, vineyards on our doorstep, plenty of African color and positive energy, terrific advertising talent, and the typical South African work ethic. South Africans love wor…

Cape Town has very little to do with the Africa most of the world is thinking of. OP's question is about Nigeria. Not so long ago, Nigeria wouldn't even let you in if your passport had a South African stamp. The problems and opportunities in Cape Town for startups have, in my experience, no relevance to Lagos, Kinshasa, Abidjan, Accra ... As you're from Cape Town, you know this is the real problem: http://sewayoleme.…

Thanks for the interesting link. The world may have a "huts and lions" view of Africa and may find it convenient to classify Cape Town as no longer "African" because it's more developed. But I would question that sort of definition of Africa as necessarily implying "third world". As you say, people must regard Africa as a whole, from North to South, East to West. What's needed is more definition, more detail, more brush strokes within the outlines. Talking about all kinds of African cities (including Cape Town) will help in that respect.

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#89
post #44

I am actually very excited by opportunities in Africa, but I know nothing about marketing to Africans. For example, out of the 110 million connected online, what percentage of them are willing to pay for goods and services online? How do you accept payment from an African user? How do most people access the Internet? What sort of social media sharing is most popular - Twitter, Facebook, texting, Skype ...?

The problem is that most of them can't even if they want to especially if we're talking international payment. My view is based on my own experience (Morocco, here), and it's almost impossible to get an international credit/debit card from your bank unless you're building and import/export company. Online payments (in a national scale) are, sure, evolving but the ignorance is killing the online market, nobody is will…

thanks. do you know anything about moneybookers or paypal in morocco?

Re: Ask PG: Why do you think Africa cannot produce global scale start ups?

#90

I am actually very excited by opportunities in Africa, but I know nothing about marketing to Africans. For example, out of the 110 million connected online, what percentage of them are willing to pay for goods and services online? How do you accept payment from an African user? How do most people access the Internet? What sort of social media sharing is most popular - Twitter, Facebook, texting, Skype ...?

Keep an eye out for M-pesa as a form of digital money transfer.

very cool, thanks for the tip please drop me a line at zackster@gmail.com if you get the chance, i'd love to hear what you're up to
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