Market integration

Getting the fair value of the items produced is one of the challenges faced by developing nations. And one of the most important components in resolving this issue is having appropriate access to the market as well as knowledge of the present market.

Numerous governmental and non-governmental groups are attempting to close the gap between the market and the producers. The majority of enterprises in Ethiopia are somewhat isolated, so in addition to receiving a fair price for their goods, they are are also challenged by rising price of inputs for their businesses. Since they typically rely on others to supply them with the essential inputs, which renders their goods unreliable, pricey, and unsustainable.

For instance, a business in private education centers that exclusively focuses on educating pupils criticizes the lack of highly qualified instructors. Instead of complaining about the poor quality of the instructors, they should create a company that offers graduate teachers additional training to help them further their careers. It might generate extra revenue for the school and make it simple to hire personnel who are qualified.

In Ethiopian industries, this type of market integration is not new, although it is less common than we would want. Agriculture is another field where this would be very helpful. For instance, there are several poetery farmers in the Bisheftu area who all complaining about the rising cost of chicken feed. However, they could easily solve that issue by establishing a share company that makes chicken feed and sells it to its members at a reasonable price. If they have enough, they could also sell it to non-members and make more money.

A well-coordinated business plan and implementation are required for this form of market integration and collaboration. These kinds of collaboration, as we covered in our discussion on “collaborating with Ethiopians,” are crucial for enhancing enterprises on a number of levels. Another illustration is a fattening firm, which often purchases from others but might invest in the development of another business as a whole.

To address the issue of market integration, Impact Investing Ethiopia is collaborating with several organizations and companies. Please get in touch with us if you are an individual or business seeking to operate in Ethiopia and are interested in collaborating with others.

You may reach us by phone at +251 921 333 813, email at girumas@gmail.com, or through our website at impactinethiopia.com/contact.