Nigeria Case Study. Nigeria Case Study Growth Potential Brazil- 3million TIVNigeria- 50 000 TIV.

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Presentation transcript:

Nigeria Case Study

Nigeria Case Study Growth Potential Brazil- 3million TIVNigeria TIV

Nigeria Case Study: Establishment of Assembly plant

Nigeria Case Study: New Automotive Policy ProcessProcess Engineering Engineering Nigerian Industrial Revolution Plan (NIRP) Diversification of Nigeria’s economy and revenues through industry Increase manufacturing’s contribution to GDP from: - 4% to 6% by 2015; and - >10% by 2017 Elements of the Automotive Development Plan

Nigerian Case Study: Proudly Nigerian Products

Nigerian Case Study: Skills Development

Skills Development Process EngineeringQuality AssuranceTotal Customer ServiceSupply Chain ManagementHuman Resources

Skills Development

Other Growth Initiatives: Retail Network Expansion

Geographic coverage Service capacity Increase focus on our markets Brings us closer to our customer Zimbabwe. Direct Dealer Distribution Model Dealer Network to satisfy customer needs Network quantity & quality Zambia Malawi

Other Growth Initiatives

Brand Building

Challenges  Government policy uncertainties  High country risk factor: African countries represent 50% of the highest risk countries  Erratic market conditions: forex fluctuation, duty structure changes  Logistics network challenges in distributing products across the region  Lack of reliable market information: limited statistical data and market intelligence

Challenges  Competitiveness of key markets: based on the World Economic Forum Competitiveness Index. Those at the bottom end of the scale are:  Kenya 90  Ghana 111  Nigeria 127  Angola 140  Grey market penetration: grey market estimated to be 10 X new vehicle market size  Skills shortage: not enough requisite skills hinders growth of the motor industry in Africa

Building Automotive Industry: Opportunities Process Engineering Growing TIVImproved Road NetworkBetter Fuel Network

Building Automotive Industry Benefits Employment CreationGreater GDP ContributionEconomic LinkagesSME development in respect of Automotive parts, components and servicesSkills DevelopmentTechnology and Innovation advancement

Building Automotive Industry

Thank You